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Pink Drainer Addresses Stake 12M DAI in Spark, Becoming Top sDAI Holder: PeckShield

Ukraine seizes $19,500 from crypto wallet dedicated to supporting Russian forces

Pink Drainer Addresses Stake 12M DAI in Spark, Becoming Top sDAI Holder: PeckShield

The notorious crypto hacking group known as Pink Drainer has wreaked havoc in the DeFi sector.

Recent findings by PeckShield reveal that Pink Drainer-affiliated addresses have staked a substantial 12 million DAI into the DeFi lending protocol Spark, constituting nearly 1.194% of the total sDAI tokens. This alarming revelation essentially means that Pink Drainer is one of the largest sDAI holders.

Pink Drainer Emerges as Major sDAI Holder

The blockchain intelligence platform’s latest data highlighted that the hacking group’s impact extends far beyond mere holdings. Operating as a Scam-as-a-Service provider, Pink Drainer has stolen over $50 million worth of crypto assets within the past two years alone.

MistTrack also echoed a similar sentiment last week when it revealed that the Pink Drainer was gradually leveraging MakerDao to launder their illicit gains.

In fact, Pink Drainer has leveraged sophisticated phishing tactics to target prominent entities like MicroStrategy, resulting in the compromise of X account that promoted a fraudulent Ethereum token. Victims collectively lost over $440,000 in that incident.

Even prominent industry figures such as Ethereum co-founder Vitalik Buterin and OpenAI’s chief technology officer, Mira Murati, fell victim to Pink Drainer’s orchestrated phishing schemes.

The threat group was also linked with the theft of $4.4 million worth of Chainlink’s LINK tokens from a victim who was lured into authorizing an “Increase Approval” function. This led to the drainage of a total of 275,700 LINK across two transactions within a minute of executing the “Increase Approval” transaction.

Wallet Drainers

Crypto wallet drainers have become increasingly common and have emerged to fill in the void left by the notorious OG wallet sweeper Monkey Drainer, which exited the space after being exposed by on-chain sleuth ZachXBT.

Besides Pink Drainer, other entities such as Inferno Drainer, Pussy Drainer, and Venom Drainer have collectively stolen over $295 million in assets from around 324,000 victims, according to a recent report by Scam Sniffer.