Blockchain security firm PeckShield has flagged a large-scale laundering operation involving an Ethereum address that has already funneled nearly 2,500 ETH, worth approximately $7.9 million, through the privacy mixer Tornado Cash.
The activity, tracked under address 0xB8b4…3714, is believed to be linked to a so-called “pig-butchering” crypto investment scam.
According to PeckShield’s analysis, the funds were initially sourced from multiple wallets on the TRON network. From there, the assets were bridged to Ethereum, where they were systematically deposited into Tornado Cash in batches.Â
Onchain records show dozens of transactions ranging from small deposits to transfers of 10 ETH and 100 ETH, a pattern commonly associated with attempts to obfuscate fund origins.
PeckShield said the laundering process remains active, suggesting the operator is still in the process of washing proceeds rather than completing a one-time event. The firm noted that the movement of funds across chains before entering a mixer adds an extra layer of complexity for investigators, a tactic increasingly seen in organized crypto fraud schemes.
The activity has been tentatively linked to a “pig-butchering” scam, a form of long-term social engineering fraud in which victims are gradually groomed, often through messaging apps or dating platforms, before being convinced to invest large sums into fake crypto trading or investment platforms.
Once funds are transferred, scammers rapidly move assets across chains and into privacy tools to reduce traceability.
Despite Tornado Cash being sanctioned by U.S. authorities in the past, it continues to be used by malicious actors to launder illicit crypto proceeds. Security experts warn that cross-chain bridges and privacy protocols remain key pressure points for law enforcement and compliance efforts, especially as scammers grow more sophisticated.
PeckShield urged exchanges, wallet providers, and compliance teams to closely monitor cross-chain inflows and Tornado Cash-related activity, noting that early detection remains critical to limiting losses. The case highlights ongoing challenges in combating crypto-enabled fraud, even as onchain analytics and monitoring tools continue to improve.