Inferno Drainer fails attempt to launder ETH — ‘not welcome’ in Railgun

Crypto privacy protocol Railgun's built-in tool to filter out bad actors has seemingly foiled Inferno Drainer's attempt to launder its stolen cash.

In a July 10 post on X, MistTrack noted that a July 9 attempt to launder a little over 174 Ether — worth $533,000 at current prices — was blocked by Railgun, forcing them to send the stolen ETH back to Inferno's original wallet address.

Railgun contributor Alan Scott Jr told Cointelegraph that Inferno's malicious attempt to use the Ethereum-based privacy protocol was rejected by Railgun's automated Private Proofs of Innocence (Private POI) system.

Once the Private POI system was activated, "the tokens could only return to the attacker's address — they were not welcome in RAILGUN," said Scott.

"The fact that this attacker could only send tokens back to the original shielding wallet is by design. This is part of Private POI, this technology is brand new, but this a great example that shows it works."