A major breach forced Polter Finance, a decentralized platform for lending and borrowing, to halt its operations.
The exploit drained $12 million, prompting immediate action, including notifying authorities and seeking assistance to recover the funds.
The platform suspended activity on November 17 after detecting a security vulnerability. Investors were alerted on X as the company began tracing the stolen assets, which were ultimately linked to wallets on Binance
$16.53B
.
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Web3 security firm TenArmor attributed the breach to a flaw in Polter Finance’s oracle pricing mechanism. The newly launched SpookySwap
$1.05
market, integral to the platform, became the target of a flash loan exploit.
Polter Finance issued an on-chain message to the attacker, however, no response had been received at the time of reporting. To strengthen its efforts in identifying the culprit, Polter Finance partnered with the Security Alliance Information Sharing and Analysis Center (SEAL-ISAC). The collaboration aims to enhance investigative capabilities and prevent further financial harm.
The platform’s anonymous founder, known by the pseudonym Whichghost, took legal action by filing a report with Singaporean authorities. Details from the report indicate that the breach resulted in losses exceeding 16.1 million Singapore dollars (equivalent to $12 million). Among these losses was over $223,000 in personal funds belonging to Whichghost, who stated that their login credentials had not been shared.
Despite Polter Finance’s efforts to address the breach transparently, skepticism emerged from the crypto community. Some suggested that the incident might have been an insider operation.
In other news, a grad student was left unsettled after receiving a disturbing response from Google’s AI model, Gemini. What exactly did the AI say? Read the full story.
Having completed a Master’s degree in Economics, Politics, and Cultures of the East Asia region, Aaron has written scientific papers analyzing the differences between Western and Collective forms of capitalism in the post-World War II era.With close to a decade of experience in the FinTech industry, Aaron understands all of the biggest issues and struggles that crypto enthusiasts face. He’s a passionate analyst who is concerned with data-driven and fact-based content, as well as that which speaks to both Web3 natives and industry newcomers.Aaron is the go-to person for everything and anything related to digital currencies. With a huge passion for blockchain & Web3 education, Aaron strives to transform the space as we know it, and make it more approachable to complete beginners.Aaron has been quoted by multiple established outlets, and is a published author himself. Even during his free time, he enjoys researching the market trends, and looking for the next supernova.
