Infini Exploiter Returns to Buy $13M in Ether Amid Market Dip
By John Nada·Feb 9, 2026·6 min read
A wallet linked to the $50 million Infini exploit has resurfaced, purchasing $13.3 million in Ether during last week’s downturn, according to blockchain data.
A wallet linked to the $50 million Infini exploit has become active again nearly a year after the breach, snapping up Ether during last week’s market downturn before routing the funds through a crypto mixing service. The Infini exploiter-labelled wallet address bought $13.3 million worth of Ether (ETH) as the price dropped to $2,109, before sending the funds to crypto mixing protocol Tornado Cash, according to blockchain data platform Arkham. This strategic maneuver showcases the exploiter's continued engagement in the market and highlights a level of sophistication in their trading approach.
The recent acquisition marks the wallet’s first known transactions since August 2025, when the same address sold about $7.4 million worth of Ether near $4,202, close to the asset’s yearly high at the time. Blockchain tracking service Lookonchain noted that the exploiter seems very adept at buying low and selling high, a strategy that underscores the opportunistic nature of crypto trading. This pattern indicates that the exploiter is not merely a passive holder of the stolen assets but is actively seeking to capitalize on market fluctuations.
The renewed activity of this wallet comes against the backdrop of a sharp market selloff. Crypto markets logged their 10th-largest liquidation event on record last week, with roughly $2.56 billion in leveraged positions wiped out, according to data from Coinglass. This substantial liquidation event illustrates the volatility inherent in cryptocurrency markets, often exacerbated by macroeconomic factors that lead to rapid price declines. As traders scramble to manage their positions during such downturns, the actions of the Infini exploiter highlight the ongoing interplay between illicit activity and legitimate trading strategies within the crypto ecosystem.
Ether's price briefly sank to $1,811 on Thursday, marking a nine-month low last seen at the beginning of May 2025, according to TradingView data. This significant drop in price offers insight into the current market sentiment, characterized by uncertainty and rapid shifts in investor confidence. The Infini exploit, which occurred a year earlier, involved a suspected rogue developer retaining administrative privileges post-delivery, leading to the significant loss of funds. The stolen USDC was immediately swapped for Dai (DAI) stablecoins, which do not have a freeze function, indicating a calculated move to preserve liquidity and facilitate future trading endeavors.
The latest transactions from the Infini exploiter suggest that the attacker is still at large with the $50 million, using it to chase more profits through cryptocurrency trading. This ongoing activity raises questions about the effectiveness of recovery efforts by affected protocols and the broader implications for security within the crypto space. With the exploiter still actively trading, the potential for further market impact is significant, as these illicit funds could influence trader sentiment and overall market dynamics moving forward.
In the aftermath of the exploit, Infini initiated legal action in Hong Kong against a developer named Chen Shanxuan and several unidentified individuals suspected of involvement in the breach. A month after the exploit, Infini filed a Hong Kong lawsuit against the individuals, underscoring their commitment to pursuing justice and recovery of the stolen funds. An on-chain message sent by Infini included a writ of summons for the defendants, demonstrating the protocol's proactive approach in addressing the aftermath of the exploit.
Infini had previously offered a bounty to the hackers for the return of the stolen funds, claiming to possess information regarding the exploiters' identities. This bounty reflects the growing trend among crypto projects to incentivize the return of stolen assets, aiming to recover losses while also highlighting the challenges of navigating the complex legal landscape surrounding cryptocurrency theft and fraud.
Despite these efforts, the continuous trading activity of the Infini exploiter suggests that recovery may be an uphill battle. The ongoing presence of the exploiter in the market serves as a poignant reminder of the vulnerabilities that exist within the crypto ecosystem. As protocols develop and enhance their security measures, the dynamic landscape of cryptocurrency trading continues to evolve, often outpacing the legal and technical mechanisms designed to protect it.
Moreover, the Infini exploit raises broader questions regarding the overall security of funds in the crypto ecosystem. As the industry matures, the necessity for robust security protocols becomes increasingly evident, particularly in light of high-profile breaches that have resulted in significant financial losses. The effectiveness of recovery efforts and the ability of platforms to safeguard user assets are crucial factors that will shape the future of trust in the cryptocurrency space.
As legal proceedings unfold and the market reacts to the ongoing activity of the Infini exploiter, stakeholders within the crypto community are watching closely. The interplay of legal recourse, market dynamics, and the behavior of exploiters will undoubtedly influence future trends and strategies adopted by both traders and protocols alike. The outcome of Infini's legal actions may set important precedents for how similar cases are handled in the future, potentially impacting the willingness of projects to pursue legal avenues after being victimized by exploits.
In this context, the Infini exploiter's actions can be seen as both a challenge and an opportunity for the wider cryptocurrency community. As the market grapples with the dual realities of innovation and risk, the lessons learned from incidents like the Infini exploit will be vital in shaping the regulatory and operational frameworks that govern the industry going forward. The ongoing dialogue between security, compliance, and user protection will play a critical role in fostering a more resilient crypto ecosystem.
As the dust settles on this latest chapter of the Infini exploit, the implications for the broader market remain significant. The actions of the exploiter not only highlight the ongoing risks associated with crypto trading but also underscore the need for continuous vigilance among investors and project teams alike. With the potential for further market disruption stemming from the exploiter's activities, the cryptocurrency community must remain proactive in addressing vulnerabilities and enhancing security measures to protect against future exploits.
While the future of the stolen funds and the legal proceedings remains uncertain, the Infini exploit serves as a stark reminder of the darker side of the cryptocurrency landscape. As the market continues to evolve, the intersection of crime and innovation will remain a central theme, challenging participants to adapt and respond to an ever-changing environment. The Infini exploiter's resurgence in the market amid a downturn is not just a story of a rogue actor but a reflection of the complexities and challenges that define the modern crypto landscape.