- Monero rallied 50% after a $330M Bitcoin theft was laundered through XMR swaps, exposing new liquidity and privacy risks.
- ZachXBT brought to the public a $330M Bitcoin theft tied to Monero, triggering one of XMR’s sharpest rallies in 2025.
- Surging Monero adoption for laundering highlights growing regulatory pressures and liquidity issues facing privacy coins globally.
A suspicious transfer involving 3,520 BTC ($330.7 million) ignited a sharp Monero rally this week. The sudden inflow of capital into XMR triggered a 50% price spike, pushing Monero to its highest level in months.
Bitcoin Theft Sparks Monero’s Rapid Breakout
According to a post by Bitcoin.com News, reposting ZachXBT’s findings, 3,520 BTC were moved to a suspicious address. The funds were swiftly laundered across six instant exchanges and swapped for Monero within hours. The price of XMR surged by 50%, reaching an intraday peak of $339 before stabilizing near $289.
The on-chain transfer flagged by ZachXBT involved address bc1qcrypchnrdx87jnal5e5m849fw460t4gk7vz55g on April 28, 2025. Data showed XMR volume tripling during the swap activity, coinciding directly with the aggressive price spike. Current shifts in investor sentiment highlight a new narrative linking privacy assets to large-scale laundering activity.
ZachXBT Brought to the Public a Major Privacy-Driven Conversion Event
In an update, ZachXBT brought to the public the transaction, dismissing theories tying it to Lazarus Group involvement. ZachXBT stated it was “highly probable it’s not” a state-sponsored attack, pointing instead to independent hackers. The suspected laundering underscores Monero’s role as a preferred asset for privacy-focused offloading operations.
Broader adoption signals a pivotal transformation underway in how Monero is perceived across security-conscious sectors. Recent acceptance of XMR at Swiss Spar supermarkets demonstrates growing mainstream integration of privacy coins. Parallel trends are beginning to influence strategic decisions among crypto exchanges managing KYC protocols around privacy assets.
Regulatory Tensions Grow as Privacy Coins Face Renewed Scrutiny
Blockchain analytics firm Chainalysis further stated that major currencies like Bitcoin and Ethereum remain the first choice for illicit purposes. They did say privacy coins suffer from liquidity problems, though, as the big exchanges delisted Monero under regulatory pressure.
Emerging risk factors have altered prior expectations about the viability of privacy coins in a tightening compliance environment. Despite Monero’s proven use case in privacy transactions, its reduced liquidity pool raises concerns about future scalability amid heightened regulatory oversight.
