The stealth address privacy protocol Umbra shifted its hosted interface to maintenance mode after confirming that stolen funds from recent hacks had traversed the system.

The team confirmed that approximately 349 Ethereum (ETH), valued at around $800,000, originated from recent 'high-profile' exploits.

Umbra responds to money laundering reports.

In its latest post on X (formerly Twitter), Umbra stated it made the decision on April 21 at 6:45 AM ET.

"As reported, Umbra was used to transfer funds related to recent high-profile hacks. We are aware of a total of 349 ETH (~$800,000) of stolen funds moving through the protocol. Reports of significantly larger amounts are inaccurate," the release states.

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The team assured that all funds in stealth addresses are completely safe, and their security has never been at risk. The actual Umbra protocol is still functioning normally. Only their hosted frontend version is down.

Umbra added that access to the hosted interface will be restored once the team is confident that bringing it back online won't disrupt ongoing recovery efforts.

"Umbra is primarily useful for protecting the recipient's identity, not the sender's. Since hackers aim to obscure the link to the compromised sender address, Umbra does not specifically assist hackers in moving funds. All stolen funds moved through the protocol are traceable, and we have been in contact with security researchers involved," the team added.

This response was given as researchers continue tracking the KelpDAO attacker. The hacker began laundering funds after the Arbitrum Security Council froze approximately $71 million worth of linked ETH. According to chain analyst EmberCN, several small ETH transfers were routed through UmbraCash.

The KelpDAO hack, linked to North Korea's Lazarus Group – likely its TraderTraitor subgroup – is considered the largest DeFi hack of 2026 so far. The case has shaken investor confidence across the board. Additionally, it has significantly increased outflows from Aave in recent days.

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