Blockchain monitor Peckshield Alerts has reported a security breach at Poloniex, resulting in a loss of around $65 million USD for the crypto exchange.
At the time of this report, Poloniex 4’s wallet, post-hack, holds less than $50,000 worth of tokens.
The attack coincided with a scheduled maintenance period, which has led to many on the X (formerly known as Twitter) to question the coincidence.
Poloniex did not respond to Coinlive’s request to comment.
Poloniex is owned by crypto mogul Justin Sun.
The billionaire, who also owns a founding stake in HTX, purportedly bought the exchange as part of an investment group in 2019.
Poloniex changed hands in 2018 when Circle acquired it for $400 million.
Poloniex changed hands in 2018 when Circle acquired it for $400 million. Poloniex changed hands in 2018 when Circle acquired it for $400 million.
Once a dominant force with over 50% market share, Poloniex’s recent decline in transaction volume culminated in its share dropping to a meager 1% before the recent hack.
This incident follows a tumultuous year for Poloniex, marked by a $7.59 million fine in May for sanctions violations.
The U.S. Treasury Department’s Office of Foreign Asset Control (OFAC) identified nearly 66,000 violations involving customers from Crimea, Cuba, Iran, Sudan, and Syria trading up to a cumulative $15 million between January 2014 and November 2019.