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ZachXBT Recovers Majority of Funds from Stolen NFT Sale

Pseudonymous on-chain researcher ZachXBT has successfully recovered the majority of funds from the sale of a rare DeGods nonfungible token (NFT), which was pilfered in May 2023 following the original NFT holder’s unfortunate entanglement in a phishing scam.

In a post dated Feb. 24, ZachXBT relayed the outcome of his nine-month inquiry into the theft of the DeGods #3251 NFT to his 505,200 followers, revealing that most of the funds have now been restored to the victim.

The NFT was auctioned off in May 2023 for 99 Ether, valued at approximately £127,000 at the time.

“I am pleased to share that I was able to help recover a decent chunk of the stolen funds which have now been returned back to the victim,” said ZachXBT.

ZachXBT received a distress call from the victim in May 2023, shortly after the victim discovered his wallet had been emptied, seeking ZachXBT’s aid in reclaiming his digital artwork.

The duration of ZachXBT’s investigations can vary depending on the intricacies involved.

He frequently employs simple diagrams to elucidate to his followers how the phishing scams unfolded and to trace the movement of funds, even across cryptocurrency mixers.

“While recovery can sometimes be a protracted process, it is indeed achievable, and I am always eager to share such success stories,” he remarked.

ZachXBT also disclosed his intention to wrap up his pro bono blockchain investigation work soon.

READ MORE: Avalanche Blockchain Faces Block Production Disruption: Investigation Underway

He made this revelation following feedback from users expressing frustration because he did not assist them in recuperating their pilfered cryptocurrency, notwithstanding his reiterated assurance that this service is provided free of charge.

“This is precisely why I am ceasing all public interest work shortly,” he asserted.

ZachXBT has been a prominent figure in various sectors of the cryptocurrency industry, aiding in unraveling crypto-related crimes for both individuals and national authorities.

In October 2022, Cointelegraph reported that French authorities were leveraging ZachXBT’s research to apprehend the perpetrators behind the theft of NFTs valued at $2.5 million.

Christophe Durand, deputy chief of France’s national cyber unit, informed the AFP that they became aware of the incident following ZachXBT’s investigation on social media.

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Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

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