• Thu. Oct 19th, 2023

The Poly Network: How to Make a Billion in a Day and Lose It All in a Night

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ByEsme Greene

Jul 24, 2023
The Poly Network: Billion in a Day, Lost in a Night
Esme Greene
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The Poly Network Decentralized Finance Platform (DeFi), which enables users to trade cryptocurrency assets across several blockchains, was the target of a cyberattack over the weekend. The cross-chain bridge protocol’s smart contracts functionality is said to have been manipulated by the hackers to enable limitless bitcoin mining.

The Consequences

Due to this attack, the firm declared on Sunday morning that its services will be suspended. It called on blockchain security businesses to help with responding to the situation and stated it is working with her partners to determine the scope of the theft.

57 assets across 10 blockchains, including Ethereum, Binance’s BNBChain, Metis, Polygon, and others, were reportedly impacted by the hack as of Sunday night, according to the business. Cryptocurrency theft is believed to have cost $34 billion in total.

“We have already begun contacting centralized exchanges and law enforcement organizations to request their assistance. To prevent any potential legal repercussions, we hope the perpetrator would cooperate and return consumers’ assets, the business said in an email.

“We have spoken with several representatives of other crypto platforms and advised them to promptly remove liquidity from decentralized exchanges in order to reduce additional dangers. We also highly advise users who own the impacted assets to hurry up with the withdrawal of liquidity and unlocking of their LP tokens, according to the business.

Quite shortly after the event, Metis, a decentralized autonomous organization (KNIFE), told users that there was not enough liquidity on the network to swap the BNB and BUSD that the attackers had created. 

As a result, they won’t be able to withdraw money. Binance Chapter verified that the exchange is assisting Poly Network in resolving the issue. Thieves are actively attempting to withdraw at least some of the coined money at the same moment. 

It Wasn’t the First Attack

The Poly Network has previously been compromised. The project was the victim of a similar hack in August 2021, during which $610 million worth of tokens were taken. Then network representatives appealed to the public for assistance in locating and halting the asset leak. A certain of the stolen USDT worth $33 million was frozen by certain important players in the crypto industry, such Tether.

Hackers stated that their main goals were to evaluate the Poly Network’s security and return the tokens six days after the assault. They asserted that the heist was motivated by a need for more protocol vulnerability security. 

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Esme Greene

Esme brings a wealth of knowledge and experience to our website, specializing in all aspects of DarkWeb security. With a deep understanding of the intricate workings of the DarkWeb and its associated cybersecurity risks, Esme curates insightful and informative content for our readers.