Bo Shen Loses $42M in Stablecoins, Bitcoin, Ethereum to Hackers

Notable Chinese venture investor Bo Shen revealed he lost $42 million worth of crypto as a result of a theft from his personal wallet.

By Andrew AsmakovBo Shen, general partner of the Vitalik Buterin-advised venture capital fund Fenbushi Capital, claimed in a new tweet on November 23 that $42 million worth of funds were taken from his Trust Wallet on November 10.

Shen, who was born in China but now resides in Atlanta, claims that the money was his personal property and that no Fenbushi-affiliated companies were harmed by the exploit.

“Local law enforcement has been informed of the event. Both the FBI and attorneys have been involved. In the end, civilization and justice will triumph over evil and savagery. The iron rule of human society is this. Just a matter of time, really.”

Later today, blockchain analytics company SlowMist confirmed the exploit and stated that “mnemonic words compromise” was the cause of the theft. The company also revealed that Shen's accounts were depleted of 38,233,180 USD Coin (USDC), 1,607 ETH, 719,760 Tether (USDT), and 4.13 Bitcoin. Later, the stolen money was transferred to the exchangers ChangeNow and SideShift.

“In addition, we have verified during our investigation that @boshen1011's Trust Wallet is the official version and not a fake wallet. Trust Wallet itself has no security issues related to this theft.”

On Twitter, Shen thanked users for their supportive comments and reiterated his “commitment to blockchain technology and decentralized services.” Bo Shen's wallets were last known to have been compromised on December 8, 2016, when hackers improperly gained access to a database backup from forum.ethereum.org. Shen, an early investor of Ethereum and Augur, had both of his wallets' contents sent to a Poloniex instant exchange service. Since then, some of the money has been found.