Coinsbuy Suffers $7.9 Million Hack, Funds Laundered via Monero
Coinsbuy, a digital asset processing platform catering to enterprise and merchant clients, was the target of a major security breach on August 10, leading to the theft of more than $7.9 million from its wallets across the Ethereum and TRON networks. This incident marks the first known hack of Coinsbuy since its inception in 2019.
The attack was first flagged by on-chain monitoring service Specter, which detected suspicious activity linked to Coinsbuy wallets. The hacker drained funds from both Ethereum and TRON, indicating a possible compromise of private keys or a vulnerability in the platform's multi-chain wallet management.
After the theft, the attacker quickly attempted to obscure the transaction trail by converting portions of the stolen cryptocurrency into Monero (XMR), a privacy-focused coin known for its resistance to blockchain forensics.
In response to the breach, Coinsbuy collaborated with ChangeNOW, a non-custodial exchange, to freeze a six-figure sum of the stolen assets before they could be fully liquidated. The platform temporarily suspended all deposit and withdrawal services but resumed operations shortly thereafter. Current investigations indicate that this breach was an isolated incident rather than a sign of systemic vulnerabilities within Coinsbuy's infrastructure.
Coinsbuy operates in a niche segment of the crypto ecosystem, providing digital asset processing tools specifically for businesses and merchants, and has largely remained under the radar of the broader crypto community.
Updated 07:01 UTC
New Insights on Crypto Laundering in South Korea
A recent report highlights that a single cross-border laundering method, known as Hwanchigi, has become the backbone of South Korea's crypto crime wave, accounting for $6.4 billion of the $7.1 billion in illegal crypto transactions recorded since 2021.
Police data indicates a staggering 152-fold increase in money laundering cases involving virtual assets in the first half of 2026, with 1,214 cases reported compared to just eight in all of 2025.
Money laundering now constitutes 79.4% of all crypto offenses detected in H1 2026, surpassing investment fraud, which previously accounted for 92% of crypto crime.
The preferred method for laundering is through Tether (USDT), as stablecoins dominate illicit crypto flows globally. Criminals convert proceeds from activities like drug trafficking and phishing into virtual assets before transferring them overseas.
Despite the surge in detected cases, enforcement remains lacking, with only 18 arrests made for crypto money laundering in H1 2026, compared to 42 in 2023.
The Korea Customs Service seized 7.2 trillion won ($4.92 billion) in illegal foreign exchange transactions in H1 2026, revealing the scale of the issue.
FAQ
What happened to Coinsbuy on August 10?
Coinsbuy suffered a major security breach leading to the theft of over $7.9 million from its wallets across the Ethereum and TRON networks.
How did the hacker manage to steal funds from Coinsbuy?
The attack involved draining funds from both Ethereum and TRON, suggesting a possible compromise of private keys or a vulnerability in the platform's multi-chain wallet management.
What measures did Coinsbuy take after the hack?
Coinsbuy collaborated with ChangeNOW to freeze a six-figure sum of the stolen assets and temporarily suspended all deposit and withdrawal services before resuming operations shortly thereafter.
Is this the first hack Coinsbuy has experienced?
Yes, this incident marks the first known hack of Coinsbuy since its inception in 2019.
Was the breach indicative of systemic vulnerabilities within Coinsbuy's infrastructure?
Current investigations suggest that this breach was an isolated incident and not a sign of systemic vulnerabilities within Coinsbuy's infrastructure.
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