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IOTA Recovers Majority of the Stolen $11 Million, No Organized Group Behind the Heist

IOTA Foundation had reported that most of the money stolen has been now recovered that is being held by the police for evidence purposes.

Just a Small Amount of 10 Million Euros Not Found

In the $11 million IOTA theft case, further progress has been made as a top official at the IOTA Foundation has stated that most of the cryptocurrency stolen from the investor wallets has been found. However, the law enforcement authorities are holding the funds to be used as evidence against the alleged perpetrator of the theft.

Just a week ago, we reported the arrest of the suspect in the theft of over €10 million ($11.4 million) in January, this year by the Europol that helped the UK and German law enforcement agencies. Now, according to the latest reports, it has been revealed that the majority of the stolen funds have been retrieved.

Over the past few years, especially after the surge of cryptocurrency prices in December 2017, these kinds of crimes have become a huge problem. In 2018, they surged over 400 percent with investor losing about $1.7 billion.

“From what we know, just a small amount of the 10 million euros has not been found. The exchanges have blocked the hacker’s accounts. He tried to free the money, but he did not succeed,” said Dominik Schiener, IOTA co-founder and co-chairman of its board in an interview with Reuters.

Schiener has been reportedly working with the law enforcement on this case for several months. He said, initially they thought this was the work of an organized group but apparently was the work of an individual who, Schiener said, “had a normal job and is well-educated.”

The name of the hacker is yet to be disclosed as last week, Europol declined to disclose the name in its statement.

The investigation of the case began in early 2018 when the Hessen State Police first received the complaints of money stolen from crypto wallets. On further investigation, it was found that it was a matter of fraud that was originating from the website that was being used to target the users of the IOTA cryptocurrency, MIOTA.

These IOTA wallets are protected by an 81-digit seed that can be generated using seed-generators found online. Europol had said among the sites was a malicious seed-generator running on Several of the victims who used this website had their seeds stored in the background which was used by the hacker to gain access to the wallets of the victims and then transferred their money to wallets created with fake IDs.

At the time of writing, 14th largest cryptocurrency IOTA has been trading at $0.2643 with 24-hours gains of 3.41 percent.


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