Share this article
The Stolen DAO Funds Are On the Move
More than $5m worth of digital currency associated with the attack on The DAO is on the move.
Updated Sep 11, 2021, 12:28 p.m. Published Sep 6, 2016, 9:31 p.m.
Make us preferred on Google
More than $5m worth of digital currency associated with the attack on The DAO is on the move.
Identified via an analysis of the ethereum classic blockchain, the finding comes courtesy of data analyst Bok Khoo. Founder of New Zealand-based Bok Consulting, Khoo's work shows that 3.6m classic ethers were likely moved to a new account earlier this week.
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
While a seemingly small development, the fund transfer is likely to have a deep relevance for those who have been following the debates in ethereum stemming from The DAO's failure.
After an attack on The DAO successfully moved $60m to an account controlled by an unknown individual or group, an eventual hard fork of the ethereum blockchain returned the hacked funds to the original owners. But, not everyone agreed with the plan.
The decision led to a split of the ethereum community along ideological lines, with ethereum classic continuing to use the network's original record of transactions and balances. In revitalizing the blockchain, the attacker also gained the potential to claim the funds, and they now appear to be seizing the opportunity.
So far, 1,000 classic ethers (worth about $1,500) have been transferred from the new account identified by Khoo to an account associated with the developers of ethereum classic.
Since the funds are now in an account that does not appear to be restricted by The DAO's withdrawal policies, the ether should now be able to be withdrawn.
This means that hacker could ultimately convert his stolen value – assuming someone will make the trade.
Getting out
The development follows Khoo's identification of the new address and his ability to show how those funds originated from another account earlier associated with The DAO.
What happens next is still up in the air.
For instance, there doesn't appear to be any online marketplaces currently accepting ethereum classic in exchange for goods.
One digital currency exchange currently trading classic ethers has already indicated it worked with "law enforcement" before releasing additional funds associated with the attack.
For now, however, it is unclear whether it or another exchange would exchange the funds or whether their current owners may seek to conduct a harder-to-trace in-person trade.
Briefcase full of money via Shutterstock
More For You
KuCoin captured a record share of centralised exchange volume in 2025, with more than $1.25tn traded as its volumes grew faster than the wider crypto market.
What to know:
- KuCoin recorded over $1.25 trillion in total trading volume in 2025, equivalent to an average of roughly $114 billion per month, marking its strongest year on record.
- This performance translated into an all-time high share of centralised exchange volume, as KuCoin’s activity expanded faster than aggregate CEX volumes, which slowed during periods of lower market volatility.
- Spot and derivatives volumes were evenly split, each exceeding $500 billion for the year, signalling broad-based usage rather than reliance on a single product line.
- Altcoins accounted for the majority of trading activity, reinforcing KuCoin’s role as a primary liquidity venue beyond BTC and ETH at a time when majors saw more muted turnover.
- Even as overall crypto volumes softened mid-year, KuCoin maintained elevated baseline activity, indicating structurally higher user engagement rather than short-lived volume spikes.
More For You
How a 'perpetual’ stock trick could solve Michael Saylor’s $8 billion debt problem
The bitcoin treasury firm is using perpetual preferreds to retire convertibles, offering a potential framework for managing long-dated leverage.
What to know:
- Strive upsized its SATA follow on offering beyond $150 million, pricing the perpetual preferred at $90.
- The structure offers a blueprint for replacing fixed maturity convertibles with perpetual equity capital that removes refinancing risk.
- Strategy has a $3 billion convertible tranche due in June 2028 with a $672.40 conversion price, which could be addressed using a similar preferred equity approach.
Top Stories
