Cybersecurity Investigation Raises Concerns Over NFT Theft Case
A cybersecurity investigator has highlighted a significant error by law enforcement in their handling of a high-profile case involving the theft of over $1 million worth of Bored Ape non-fungible tokens (NFTs). The misidentification centered around Sam Curry, a former security researcher at Yuga Labs, the innovative company responsible for the renowned Bored Ape Yacht Club NFT series.
Misidentification and Arrest
ZachXBT, the researcher who uncovered the discrepancies, detailed his findings in a social media post on May 9. He indicated that, after thorough analysis, he traced the wallet used in the scam to a now-deleted account on X (formerly Twitter). Contrary to evidence suggesting another individual may be culpable, law enforcement apprehended Curry at an airport in 2023.
ZachXBT expressed disappointment over the situation, stating, “It’s unfortunate to see how a security researcher was detained when stronger leads on a threat actor potentially responsible exist.”
This case dates back to December 2022 when an anonymous hacker absconded with 14 Bored Ape NFTs, each valued around $86,000 at the time, according to CoinSlam.
Investigation Details and Findings
The investigation into the theft was muddied when authorities misinterpreted data from OpenSea, mistakenly linking Curry to the crime due to his home IP address appearing in the logs. In truth, Curry had been actively working to investigate the theft, using a private key that the attacker had left in the JavaScript of the website, as part of his security protocols at Yuga.
To bolster his claims, ZachXBT employed forensic tracing techniques, including tracking the flow of stolen funds through Tornado, an Ethereum mixing service. He urged law enforcement to intensify their investigation by examining the social media accounts and on-chain transaction history of the potential suspect he has identified.
Bored Ape Yacht Club’s Market Presence
Founded in 2021, the Bored Ape Yacht Club has emerged as one of the most coveted NFT collections globally, boasting a remarkable market valuation exceeding $300 million as reported by CoinGecko. As of early May 2023, the trading price for these NFTs has settled around $30,000 apiece, varying due to distinguishing traits of each piece.
