In the aftermath of the recent BingX security incident, blockchain analysts have traced portions of the stolen assets to transactions passing through ClockSwap’s peer-to-peer platform, where the funds appear to have been converted into Monero (XMR) — a privacy coin known for its untraceable features.
Exploiter Utilizes P2P Platform for Fund Conversion
According to preliminary on-chain data, the exploiter moved Bitcoin from a series of intermediate wallets into ClockSwap, a platform often used for direct crypto-to-crypto swaps without centralized oversight. Shortly after the deposits, corresponding transactions involving Monero appeared, suggesting a deliberate effort to obscure the origin of the funds.
ClockSwap itself is not complicit as it was simply used as a channel; this development highlights the growing use of privacy-oriented assets and decentralized P2P markets by attackers seeking to evade detection.
Challenges in Tracking Privacy Coin Transactions
Cybersecurity analysts note that once funds are moved into Monero, tracking becomes nearly impossible, as the coin’s ring signatures and stealth addresses conceal both sender and receiver details.
Ongoing Investigation and Recovery Efforts
BingX has yet to comment on the specific wallet addresses identified in this investigation but stated that efforts to trace and recover stolen assets are ongoing. Authorities and independent researchers continue to monitor movements from associated wallets for further activity linked to the exploit.