In a significant breakthrough for cryptocurrency crime investigations, U.S. authorities have seized $31 million worth of cryptocurrency connected to the 2021 Uranium Finance hack, one of the largest decentralized finance (DeFi) heists. The recovery was a result of a collaborative effort between the U.S. Attorney’s Office for the Southern District of New York (SDNY) and Homeland Security Investigations (HSI) in San Diego. The SDNY announced the seizure on February 24, 2025, urging victims of the hack to come forward for potential restitution.
Uranium Finance, launched in April 2021, was a decentralized exchange operating on Binance’s BNB Chain. The hack occurred on April 28, 2021, when attackers exploited a vulnerability in the platform’s version 2.1 smart contracts. The breach allowed hackers to siphon off approximately $50 million in digital assets. The stolen funds included a range of cryptocurrencies: $36.8 million in Binance Coin (BNB) and Binance USD (BUSD), 80 Bitcoin (BTC), 1,800 Ether (ETH), 26,500 Polkadot (DOT), 5.7 million Tether (USDT), 638,000 Cardano (ADA), and 112,000 U92 tokens, Uranium’s native token.
The hackers employed sophisticated laundering techniques, converting cryptocurrencies such as Polkadot and Cardano into Ether (ETH). The funds were then routed through Tornado Cash, a privacy-focused cryptocurrency mixer, making the digital trail more difficult to trace. Interestingly, some reports indicate that portions of the laundered funds were even used to purchase rare “Magic: The Gathering” trading cards, adding an unusual twist to the case.
While the $31 million seizure represents a significant recovery, approximately $19 million remains unaccounted for. Authorities have yet to disclose the identities of the perpetrators but are actively seeking information related to the case.
This successful recovery underscores law enforcement’s increasing ability to trace and reclaim stolen cryptocurrency, despite the anonymity features of blockchain technology. The case highlights persistent vulnerabilities in DeFi platforms and the importance of robust security measures. It also reflects growing global cooperation in tackling cybercrime in the crypto space, offering hope to victims of such sophisticated digital thefts.
