A skilled hacker recently drained $27.3 million from a multi-signature crypto wallet and has already laundered $19.4 million of that through Tornado Cash, a popular crypto mixing service used to hide transaction trails. Despite the theft, the hacker still holds a leveraged trading position worth nearly $10 million.

The attack was discovered by blockchain security experts and is just one of several major crypto hacks reported in early 2026. The hacker withdrew 1,000 ETH (worth around $3.24 million) from the lending platform Aave and sent it through Tornado Cash. In total, they’ve moved 6,300 ETH ($19.4 million) through the privacy tool so far.

At the same time, the attacker continues to manage a $9.75 million leveraged long position—essentially a high-risk bet that the price of Ethereum will go up. They’re using $20.5 million in ETH as collateral against a $10.7 million loan in DAI, a stablecoin.

This wallet breach is part of a larger wave of crypto exploits happening almost back-to-back. In another case, an address (0xB8b4…) has been actively laundering 2,479 ETH (roughly $7.9 million) through Tornado Cash. These funds came from multiple TRON wallets and were later moved to Ethereum, suggesting ties to a common scam called “pig butchering.” This type of fraud typically involves fake online relationships that trick victims into investing before stealing their funds.

In a separate incident linked to a previous hack of UXLink in September, an attacker converted 248 wrapped Bitcoin into 23 million DAI within an hour, further moving stolen crypto from an earlier exploit involving billions of unauthorized tokens.

Another $1.4 million exploit was also detected on the Arbitrum network, related to an unverified contract tied to TMXTribe. In this case, attackers repeatedly minted and staked liquidity tokens using USDT, swapped them for USDG, then unstaked and sold more tokens in a loop to drain funds—including wrapped SOL and WETH.

These events follow closely behind a data breach involving hardware wallet maker Ledger. On January 5, personal customer data such as names, email addresses, and phone numbers were accessed due to a breach at their payment processor Global-e. Although Ledger confirmed that no sensitive wallet information or payment details were stolen, security experts warn this kind of personal info can be used for phishing and targeted attacks.

This is especially concerning given Ledger’s past issues with data leaks—most notably in 2020 when 1.1 million email addresses and detailed info for nearly 292,000 customers were exposed and later published online.

There’s growing fear among the crypto community about real-world threats. Physical attacks against crypto users—sometimes referred to as “wrench attacks”—are reportedly on the rise. These are violent incidents where attackers target individuals to steal their crypto by force.

Some researchers believe these attacks will become more frequent if global economic conditions worsen. The use of leaked customer data for phishing scams and social engineering makes it even easier for criminals to find high-value targets.

Experts also point out that many crypto services still rely on centralized infrastructure like payment processors and email systems—making them vulnerable points of failure. While Ledger itself wasn’t hacked this time, the leak of customer information still poses serious risks.

In December 2025, crypto-related hacks actually fell by 60% compared to the previous month—dropping from $194.2 million in November to $76 million. However, major incidents are still occurring regularly. These include a $50 million “address poisoning” scam, a $27.3 million private key leak (likely related to the current attack), and a Christmas Day exploit on Trust Wallet that stole $7 million using a compromised browser extension.

Security professionals are now urging anyone whose data was exposed to be extra cautious. Tips include watching out for phishing emails, avoiding sharing personal info online, using temporary delivery addresses, and even considering relocation if safety is a concern.

Crypto users are reminded that even though digital assets offer privacy and control, they also come with real-world risks—especially when basic security practices are overlooked or when central systems get compromised.