Crypto lender Polter Finance shuts down after $12 million hack
Poulter Financial, a decentralized lending and borrowing platform, has suspended its operations after hacking law enforcement and destroying $12 million (TVL) of its locked-down assets.
In the year On November 17, Poulter Finance took the stage for a moment after revealing the exploit and notified investors on X.
Source: Poulter Finance
According to Web3 security firm TenArmor, Polter Financial Protocol lost $12 million due to a flash loan attack linked to Oracle's pricing on its fledgling Spokeswap (BOO) marketplace.
Paul has yet to confirm the nature of the attack. In the meantime, Poulter Finance reached out to the hacker in an onchain message offering a chance for negotiation and impunity.
Polter Finance negotiates with the hacker via onchain messaging. Source: Poulter Finance
The hacker did not respond at the time of writing. The founder of Poulter Financial, known as Ghost, filed a police report with Singaporean authorities on the same day. Using Singpass, a digital ID for Singapore citizens and residents, the police confirmed the identity of the ghost.
Source: Spirit of Which
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According to a police report, Polter Finance lost more than 16.1 million Singapore dollars ($12 million) worth of crypto. This included $223,219 in personal losses for which ghost:
“I would like to state that I have not given my login details (private keys) to anyone and I believe that my platform's newly developed smart contract (for BOO token lending) has been used, resulting in unauthorized transactions.”
BOO's market cap was only $3,000, which managed to net $12 million.
Despite the company's efforts, many community members on X expressed skepticism, with some suggesting the incident may involve insider activity. Critics have pointed out that filing a police report could distract from an internal investigation.
Poulter Finance later announced that it had partnered with the Security Alliance's Information Sharing and Analysis Center (SEAL-ISAC) to help track down the attacker.
Poller market size. Source: Poulter Finance
Polter Finance has a total market cap of $12 million, including $7.87 million in Phantom (FTM), $1.03 million in Pack USD Coin (USDC), $251,000 in Magic Internet Money (MIM), and $2.1 million in Stader sFTMX, among others.
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