Crypto Whale Loses $26M After Apparent Private Key Compromise

Whale wallet TLBL has lost more than $26 million in a second major crypto theft, two years after a phishing attack drained $24 million from the holder.

The latest incident appears to involve a compromised private key, raising a difficult question for large crypto holders: how much can stronger security practices help when a wallet has already been targeted?

TLBL Loses $26M in Second Attack

Lookonchain reported on August 13 that more than $26 million in assets had been drained from three wallets linked to TLBL. The blockchain analytics account said the whale “appears to have had its private key compromised,” with the stolen assets including aWBTC, DAI, WBTC, ETH, aUSDC, sDAI, USDS, cbBTC, and several other tokens.

Lookonchain’s analysis puts the total value of assets associated with TLBL’s two thefts at about $50.3 million. The earlier incident, which took place two years ago, involved 9,579 stETH worth $15.54 million and 4,851 rETH worth $8.51 million being stolen in a phishing attack.

The latest loss is different. PeckShield said that the victim had lost about $25.6 million, including roughly $6.3 million in aWBTC, $5.1 million in DAI, $4.7 million in WBTC, and $2.6 million in ETH. According to the security firm, the attacker had already swapped part of the stolen holdings into 20 million DAI and about 3,000 ETH, worth about $5.64 million, with the funds spread across four addresses.

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