Crypto hackers steal cryptocurrency through phishing or by enticing individuals on cryptocurrency exchanges. They can use software tools to lure people into crypto-related fraud.
Following the breach, Poly Network informed its users and customers that it is temporarily suspending its services and that it would update the community about the upcoming improvements.
As per a recent update by the team, the attack has affected around 57 crypto assets on ten different blockchains including Ethereum, Avalanche, Heco, OKX and Metis, and numerous others.
Although the amount that was wiped out in the hack has not been specified, as per PeckShield’s statement, hackers transferred around $5 Million worth of crypto tokens.
The Poly Network community revealed on the morning of June 3 that the team has already initiated communication with centralized crypto exchanges and law enforcement departments and that it has sought their assistance.
Dear users, we would like to inform you that Poly Network is temporarily suspending its services due to a recent attack. We are actively engaging with relevant parties and diligently assessing the extent of the affected assets. 【1/3】
— Poly Network (@PolyNetwork2) July 2, 2023
According to Arhat, a DeFi security analyst, the hack occurred by breaching a smart contract, allowing the hackers to design malicious parameters containing a fake validator signature and block header.
As per Dedaub, a blockchain security provider, the recent Poly Network hack is worth $34 Billion.
Getting to the bottom of the “34 billion” Poly network hack with a technical postmortem.
TL ; DR
Poly network had a simple 3 of 4 multisig arrangement over 2 years!
Looking at the final event we found that the private keys to the addresses marked were compromised. pic.twitter.com/Y0eMJXcYso
— Dedaub (@dedaub) July 2, 2023
Following the incident, the Poly Network team requested assistance from exchanges and miners in tracking down and freezing the stolen tokens. Players from many industries could then collaborate to halt the transfer of assets. Tether, for example, froze $33 million in USDT.
The Poly team requested the offenders to return the stolen tokens in an open letter on Twitter. All assets were returned to Poly Network over 15 days.
Six days after the first attack, the hackers revealed they had always intended to return the tokens. They said that the heist was carried out to expose vulnerabilities and improve the security of the Poly Network.
Crypto Hacks in 2023
Crypto hackers steal cryptocurrency through phishing or by enticing individuals on cryptocurrency exchanges. They can use software tools to lure people into crypto-related fraud.
The crypto hacking that occurred in the last year was the largest in history and is worth approximately $3.8 billion. DeFi protocols and North Korea are responsible for the majority of the hacking. This figure dropped dramatically in Q1 2023. The amount stolen was lower than in any other quarter in 2022.
TRM Labs confirms this downfall but advises that it is not a long-term solution. TRM Labs manages risk and consent for a global network of financial institutions. Cryptocurrency businesses are also covered in this. It combines blockchain data with powerful analytics to assist financial organizations in combating fraud.
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational ideas only and do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing
Source: https://www.thecoinrepublic.com/2023/07/03/poly-network-in-crisis-exploiters-snatch-billions-in-stolen-crypto/