Polymarket updates hack losses to $3.1 million

Hackers stole roughly $3.1 million in PUSD tokens from 11 user wallets on the prediction platform. The theft followed a phishing attack that exploited a compromised third-party vendor.

Blockchain intelligence firm AMLBot reported Saturday that the funds were taken from Polygon and bridged to Ethereum. Polymarket said the attack occurred after a malicious script was injected into its frontend for some users.

The company pledged full refunds to affected PUSD holders. It stated it had contained the issue and removed the affected dependency.

Separately, Republican Senator John Curtis and Democratic Senator Adam Schiff urged the CFTC to investigate Polymarket. The call followed reports that the platform paid influencers to create videos of fake bets.

Polymarket has faced prior security incidents, including a suspected breach in March and a Discord channel compromise in December.

Makala yanayohusiana

Illustration of a hacked Polymarket wallet showing $520,000 being drained on the Polygon blockchain.
Picha iliyoundwa na AI

Polymarket internal wallet drained of over $500,000

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A private key compromise led to a drain of more than $520,000 from a Polymarket-linked wallet on the Polygon blockchain on May 22. The prediction market platform confirmed that user funds and core contracts remained unaffected.

Polymarket funded dozens of social media creators to post videos of simulated bets on cloned websites, according to a Wall Street Journal investigation. The promotion aimed to attract users to its prediction market platform despite US restrictions.

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Federal authorities charged a Google software engineer in late May with insider trading after he allegedly won $1.2 million betting on Polymarket. The case is one of several recent incidents raising concerns about the use of nonpublic information on prediction platforms.

Indonesia has blocked access to the crypto prediction market Polymarket after classifying the platform as illegal online gambling under local law.

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Thorchain confirmed a suspected multichain exploit on May 15 that drained about $10 million from users across several networks. The protocol activated emergency halts and has now launched a recovery portal for affected wallets.

A 38-year-old U.S. Army Special Forces soldier who participated in the capture of Venezuelan leader Nicolás Maduro faces federal charges for using classified details from the operation to place winning bets on Polymarket. Gannon Ken Van Dyke allegedly turned $33,000 in wagers into $409,000 in profit. Prosecutors described the actions as insider trading.

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Prediction market platform Polymarket has appointed a representative in Japan and aims to secure government approval to operate there by 2030. The move comes as the company faces legal pressures in the United States.

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