Robin Hood Group Sold DAO Funds In An Alleged Attempt to Tank ETC -

Robin Hood Group Sold DAO Funds In An Alleged Attempt to Tank ETC


The collection of white hat hackers, calling themselves the Robin Hood Group, apparently attempted to dump DAO funds they held in ETC in an attempt to undermine the cryptocurrency by crashing its price.

Also read: Does Dash Have a Coin Cap, or Is It Infinitely Inflationary?

ETC Dumped By Group Potentially Tied to Ethereum Foundation


The Robin Hood Group (RHG) was originally formed to benevolently hack the DAO to secure the remaining ether inside of it. The collection of hackers stole the funds with the stated purpose of keeping the ether safe until after the hard-fork, which was implemented to both reverse the hack and fix the loophole that allowed the hack to occur in the first place.

This was an act that many in the community would likely consider noble and good. However, while it could certainly be argued that these do-gooders’ pre-fork actions deserve to be lauded, any parades that were planned should probably be postponed.1-7q_XAFKv6-zL7faenF_GsQ

Some news is coming out that these same people made some shady decisions after the fork. The way in which the white hat hackers “secured’ the funds was by placing them in child DAOs. After the fork, these child DAOs remained on the ETC chain, which apparently the original hacker is now working his way through to regain some of the funds he lost after the fork.

Anyway, at some point these funds ended up on different exchanges. A large amount of ETC was transferred across a variety of exchanges, with 2.9 million etc ending up on Poloniex, some on Kraken, some on Bittrex and some on Yunbi. While Poloniex and Kraken froze these funds fairly quickly, the other two exchanges, Bittrex and Yunbi, did not.

Dumps on both platforms occurred at the same time, 10th of August at 8 AM (GMT+2). These all-out dumps created some complications for the sellers, and some argue that it was simply an attempt to crash ETC’s price that failed.

This belief seems to be justified by the fact that quite a few within the Ethereum Foundation team were a part of the Robin Hood Group.

What do you think of the ETC that was dumped? Do you think it was a designed attempt to crash ETC’s price?


Images Courtesy of Ethereum Classic, Alex Van De Sande

Trevor Hill

Trevor Hill

Trevor is a writer at Bitcoinist. He is currently attending his first year at the University of Wisconsin-Fox Valley, with a selected major in Economics. Subscribes to the Austrian school of economics.

  • Get Liquid!

    The charts don’t lie, they weren’t trying exchange them into ETH for the legitimate owners of the stolen coins. They were market sell dumps, price was of no concern since it wasn’t there money they just wanted to cause market panic. Disgusting really.

  • Max Entropy

    This article misses the point…

    1: the actions of Vitalek and crew have created a split in the Erhereum space. This has created a financial loss for some. Specifically, the value of ETH has fallen and the technology space is now segmented. There maybe legal consequences to these actions, as their actions and the Robin Hood group are well defined. The issue that I finding intriguing is… how much did the Robin Hood crew have invested in TheDao?

    2: Ethereum application developers and investors now have to concern themselves with two (2) networks. This is an issue with open source projects.

    3: Ethereum was once immutable and now it is not.

    I expect there will be legal challenges brought.

    Second, I would expect that since the miners can now influence Ethereum Classic, then Proof of Stake will not be implemented in Classic and this could dramatically differentiate the two (2) networks.

    The fork was a fool hardy idea.

  • I was actually expecting this. However, I expected more dumping, and thought that ETH would fall in price way more than it has. What I envisioned would happen, and what actually happened was far less severe. I was expecting a lot more volatility in both markets as well. Frankly, I’m curious to see how this effects both coins long term, but I’d be surprised if this is the last of this type of shenanigans in either community.