Apparent Bitcoin Theft Worth $330 Million Spikes Monero Price in Laundering Frenzy: ZachXBT

A high-profile Bitcoin theft worth over $330 million has sent shockwaves through the crypto market, triggering a dramatic surge in the price of privacy coin Monero (XMR) as alleged hackers scramble to launder the stolen assets. Blockchain investigator ZachXBT sounded the alarm after uncovering suspicious movements of 3,520 BTC linked to the theft.

On-Chain Analyst Uncovers Suspicious BTC Transfers

The situation began to unfold when ZachXBT, a respected on-chain investigator known for tracking crypto hacks and exploits. He identified a transfer of 3,520 BTC, worth roughly $330 million at the time, moved to a single wallet address. The origin of the funds and the pattern of movement raised immediate red flags.

Following the transfer, the BTC was routed through over six instant exchanges, services known for their limited identity verification protocols and fast crypto swaps. quickly distributed across at least six instant crypto exchanges. This enables the BTC to be rapidly swapped into Monero (XMR), a cryptocurrency specifically designed for privacy and anonymity.

“This was one of the largest coordinated laundering operations we’ve seen in a while,” ZachXBT commented on social media platform X (formerly Twitter). “All signs point to an attempt to aggressively move and hide funds via Monero.”

Monero Price Spikes on Laundering Demand

As the laundering operation unfolded, demand for Monero surged. XMR jumped over 50% in a matter of hours, reaching an intraday high of $339.

The price movement, according to analysts, was directly tied to the spike in on-chain transaction volume linked to BTC-to-XMR conversions.

A Chainalysis spokesperson explained the challenge clearly:

“Monero’s privacy features make it extremely difficult to trace. While it isn’t the most used coin in criminal activity, it plays a critical role in laundering large amounts due to its obscurity.”

Still, they added that Bitcoin and Ethereum remain the top choices for illicit activity. Why? They're more liquid and easier to move.

Who's Behind the Heist?

Early speculation suggested North Korea’s Lazarus Group. But blockchain investigator ZachXBT disagrees.

“There’s no clear indication this was Lazarus,” he said. “The tactics and timing don’t match. It looks more like independent hackers or a well-organized cybercrime group.”

While the exact culprits remain unknown, the size of the theft — and the laundering strategy — has caught the attention of cybersecurity experts, blockchain analysts, and law enforcement.

Monero: Privacy Tool or Laundering Vehicle?

Monero has always been controversial. It uses stealth addresses and ring signatures to hide who sends what to whom and how much.

These features make it appealing for people who want privacy, including criminals.

Even so, Chainalysis stressed that most crypto crime still involves Bitcoin and Ethereum, not privacy coins. They're simply easier to buy, sell, and move in large amounts.

That said, Monero presents unique challenges. Many major exchanges have delisted it due to regulatory pressure. Once Monero is moved off-chain, tracking becomes nearly impossible.

Mainstream Adoption of Monero on the Rise

Ironically, while Monero is making headlines for its role in crypto crime, it is simultaneously gaining traction in legitimate retail use cases. Two Spar supermarket locations in Switzerland recently announced they are now accepting Monero for in-store purchases.

This growing adoption underscores the dual nature of privacy coins. While often linked to nefarious use cases, they are also increasingly valued by privacy-conscious users in regions with high surveillance or unstable financial systems.

Larger Implications for Crypto Crime and Privacy

The recent $330 million Bitcoin heist has reignited debate about privacy coins like Monero. While these coins offer real benefits like protecting user data and enabling financial freedom, they can be used to hide large-scale criminal activity.  

This dual nature puts pressure on regulators and exchanges. They’re being forced to choose between supporting privacy and preventing abuse. As the investigation unfolds, one thing is certain: the tension between privacy and misuse will remain a major issue in crypto.