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Silk Road 3.1 “Got Hacked,” Owner Claims Bankruptcy

On July 19, another marketplace—one barely on the market list—exited the scene. The market that left, Silk Road 3.1, absconded in a classic exit scam. Many community members were surprised that Silk Road 3.1 had even existed, given that the Silk Road branding died years ago. SR 3.1 claimed someone had compromised the market and took off with the funds. Coincidentally, this exit scam occurred within hours of a Reddit post warning users of a major red flag involving SR 3.1’s server configuration.Screenshot_2017-07-19_22-07-59.png

The Apache server leaked Lunacy and Silk Road 3.1 I.P. addresses that revealed two dedicated SD servers in France, according to a Reddit user under the name “Skillzy2017.” In a Reddit post, Skillzy2017 wrote that he contacted the market admin about correcting the issue, only to receive a site wide ban. The user then published the Reddit post as a warning to other users. Despite being a nearly non-existent marketplace with no affiliation to the real Silk Road or Silk Road 2.0, the admin claimed that SR 3.1 gained three new users every minute.

“I’m pretty sure these 2 IPs belong to their servers as it’s their server returning these IPs also when running them up on whoerdotnet it shows these aren’t TOR IPs doing a whois on the IPs shows it’s a dedicated SD box located in france,” Skillzy2017 said.

Screenshot_2017-07-19_07-36-34.png

An excerpt from DeepDotWeb’s Silk Road 3.1 listing:

Since the takedown of Silk Road 2 every market using the Silk Road name such as Silk Road 3 & Silk Road Reloaded were banned from being listed on DeepDotWeb, under the assumption that they are all scams waiting to happen & that the only reason a dark net market operator would have for naming his or her site after Silk Road is to create a false sense of credibility to attract inexperienced users and steal their money.”

So, for many of the /r/darknetmarkets commenters, the surprise was not that that SR 3.1 exit scammed. Instead, the surprise was that people still used the site until the exit. In the post on Reddit, prior to the scam but after the IP disclosure, Skillzy2017 wrote that he believed the admins were prepared to scam. In an edit, two hours after posting, he added, “[Silk Road 3.1 and Lunacy] went down after this post.”

The Silk Road 3.1 homepage no longer boasts of being the darknet’s most resilient marketplace. A screenshot from a Walt Disney movie, “Alice in Wonderland,” sits in place of the former Silk Road logo. And with it, an ordinary tale of how an external actor compromised the market and either bankrupted them or launched them in a trajectory towards bankruptcy. In a twist not frequently seen after an exit scam, the market owner offered to give the market to Dream or Hansa (before it became known they were seized by law enforcment)as long as they promised to keep SR 3.1 operational. The market is also for sale to any “decent market / darknet personality.”

Screenshot_2017-07-19_21-05-30.png

Below the PGP signed message that detailed the current situation, the admin placed a “serious request” form for potential buyers. The new front-page message (formatted to fit the page):

Comrades,

AW here (SR3.1 and Lunacy owner). Our market has been compromised (stolen funds) and we will bankrupt. We miss a lot of money. And that is not something I can provide personally.

Your personal information were not compromised. Only an admin account – which had been used to empty server’s wallet. Everything is stored encrypted on our servers and all your data is safe.

Dream Market & Hansa’s Market: We do not want to fuck up all our users. But at this point, we can not financially keep this market running. If any of you wants to own SR3 & Lunacy, I will give it for free. Everything, servers, onion domains, … as long as you promise to -or at least try to- keep it running.

Any other decent market / darknet personality : We are selling the market. If you can pay for the debt, we will refund all current orders and pay vendors. Then you will own the market.

Turnover of the past days (in usd):

  • 2017-07-18 – 17278.41
  • 2017-07-17 – 13154.89
  • 2017-07-16 – 11638.08
  • 2017-07-15 – 10618.92
  • 2017-07-14 – 13745.46
  • 2017-07-13 – 13956.82
  • 2017-07-12 – 19023.15
  • 2017-07-11 – 17564.18
  • 2017-07-10 – 18812.53

Active advertising on Torch, HW and a few other major DN places. An average of 3 new users each minute. An average of 15k usd transit per day. Because the failure is my mistake, I will retire. I can not handle all this anymore. But if there is something that can be done to save our users, then be it.

Any serious request to be sent using the form below.

AW.

The Reddit user, Skillzy2017, closed the IP address post with a fairly common threat, following an exit scam. “To SR mods, admins, if any see this: I won’t leak the IPs if you put up the market and let people get their funds, If not I will.”

15 comments

  1. Back Up and running better then ever long live Sr 3.1

  2. There Back up!!!!

  3. For a “writer”, whoever wrote this, you are not very informed, or it took you 2 weeks to put this together, or maybe it was posted late, who knows.

    Market is back up and operating tho, and a system will be set up soon that will be refunding all users whos btc was stolen

  4. TheStoryOfBadOpsec

    These are lies. It was not hacked, they stole the money and I have proof.
    I was able to compromise the sites (expose the ip’s etc.) back in April. They were in fact out of France.

    But there’s more…and I hope what I tell you serves as a lesson to others.

    —————————————–
    A QUICK RUNDOWN OF SR3.1 & LUNACY FAILURE
    —————————————–
    As a developer with some crypto experience, but mostly mid-to-high level software dev, I had always wanted to invest time into learning (beyond script kiddie levels) the ins-and-outs of hacking. I had no illusion that this hobby, done 10-20 hours a week, for say…a year would grant me the title of calling myself a hacker.

    I had never had intentions of using what I learned to profit from the mistakes of others, especially the masses of ignorant citizens intent on living their life. I simply felt like calling myself a developer, or engineer without understanding security was selling myself, and my employers short.

    So after around a year, I decided to try some real-world action…but on who? As a follower of crypto & tor, and frequent visitor to this site, something caught my eye:

    It was an article on DDW, and here {Link removed} that showed a warranted fear that SR3.1 was an exit scam. The admins seemed desperate to get their “machine” running on a new host…

    Pressure, plus web app migration, is a breeding ground for mistakes and shortcuts. DDW and SR Forums provided everyone on clearnet the intelligence to identify a time of migration.

    So, as I had expected, a small window appeared on the 15th due to a misconfigured apache webserver, and bad tor config file. Within 3 minutes I had pulled most of the PHP source code out due to another idiotic novice mistake…they left autosave on, and saved said backups in the exact same directory… btcontrols.php~ …that ~ reads as a response 200, and boom!

    The shit didn’t stop flowing there…

    Part 2 coming in 4-5 hours….

    p.s. No I didn’t take a fucking millibit, or blackmail. Why? I’d been only learning pen testing/hacking for a year, and I’m not foolish enough to believe I am untouchable…looking over my shoulder for ever…no thanks.

    I inquired more than once about a bug bounty, but was dismissed…I’ve been that person who’s lost money, money isn’t everything…the exercise was my first attempt at testing my new skills, and it felt gratifying to do what I did…

    Next post I will talk about more specifics, including a certain party that was on the regular payroll…

    If anyone suffered from the left, and would like my mass of data…I would be happy to oblige. I wouldn’t dream of asking for goods or services in return, but donations would be accepted.

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  5. TheStoryOfBadOpsec

    This second part will be short, and bitter.

    I truly feel awful for those people who lost on this, and when the day of the BTC theft (by the admins) had come, I felt as though I could have done something.

    After discovering countless OPSEC failures, from end-to-end…identity, to source code, to fuzzing the unprotected ledger of payments to those not even associated with their site, but with advertising, marketing, etc. Name and all…

    The ledger (which I have no intention of posting, as it will only serve to victimize more people) took 2-3 minutes to fuzz, and in a terrible irony…looked somewhat similar to the Accounting Journals presented by the DA against Ross Ulbrick accept for:
    —————————————–
    1. IT WASN’T HIDDEN, AT ALL
    2. THEY PUT EVERYONE’S USERNAME/CONTACT NAME IN A PAYEE COLUMN…NOT JUST USERS OF THE MARKETS, ANYONE THAT THEY EVER EXCHANGED BTC WITH…THE FUCKING NAMES, AMOUNTS PAID, WHAT SITE THEY WERE WITH, AND SERVICE PROVIDED!
    —————————————–

    You would think the bad OPSEC would end there, nope. Without going into too much detail, I can also tell you that one piece of code in particular, PHP, contained an API call to a clearnet site. Credentials in plain text as urlparams. This, I believe was by far, is/was the most insane failure of all. Like, uhh, like dropping your ID before leaving the bank you just robbed.

    I wish I had of done something, but every scenario (short of stealing the coin myself)…speaking of that, I just now checked and the fuckers are still running a full-node…wow. I’m not foolish enough to gamble my life away on the back of a year of self-taught hacking, nor would I steal…I felt every avenue would have ended up with what most all of us knew was going to happen, and did happen.

    I stood to gain nothing by acting on this, my integrity was not worth losing…for any price. “Bug bounty? We Have No Bugs!”

    I bet 90% of their earnings came from the first-time market user…”I don’t know where to go, but I remember the name SilkRoad…”

    Greasy fucks…

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    • StiffedBySilkRoad

      @TheStoryOfBadOpsec:

      OK, I’ll bite. How do I get access to what you have.

    • I want to take a look at the info too.

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      =5Lnc
      —–END PGP PUBLIC KEY BLOCK—–

  6. The whole “Silk Road” brand effectively died with the takedown of SR2 (and even that in some ways was an affront to SR1).

    Why people continue to keep using these new “Silk Road” markets that keep popping up one after the other is beyond me. They have nothing but problems and nobody takes them seriously anymore.

  7. They stole it all from us. I asked for refunds on its return, and they fucking erased the proof that I had lost it in the first place.

  8. Only idiots run hidden services with Apache

  9. Well, they are certainly idiots. Stealing from all, using the name, and the audacity to bring it back online…

    I bet of a person wanted to, they could obtain all of that intel. Theres probably someone on torchat willing to sell it cheap, like $1000 in btc cheap…gna6bowrvxami3ta

  10. Their down not up.

    • Yep. Keep trying but no joy. Had an order from about 10 days ago. Still waiting. Oh well looks like I’ve been ripped off. 1st time have to say but won’t be using these guys anymore. I think trade route is better will use them instead.

  11. the asshole n00b idiot douchebag frenchie admin of sr31: “diharrea” daray aka jackie aka scarar / etc. called the grimreaper upon himself.. he lie. cheatin. wake up for just 11 reason. and should be glad he is still breatin. should watch his back and 8 mean it. also he cant bring money where he ends up. no money required in hell. so yah….a just reward will be delivered to him.. take note. my name is legion for we are many.

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