DeFi, Cryptocurrency-Based Financial Service, Suffers $600 Million Hacking Loss

Bitcoin Falls 1.7%

[Asia Economy New York=Correspondent Baek Jong-min] Poly Network, a type of decentralized finance (DeFi) based on cryptocurrency, has suffered a hacking damage amounting to $600 million. The cryptocurrency Bitcoin slightly declined.

[Image source=AP Yonhap News]

On the 10th (local time), Poly Network announced that hackers exploited vulnerabilities in the system to steal thousands of cryptocurrencies.

Poly Network revealed that cryptocurrency assets worth $600 million across Binance Smart Chain (BSC), Ethereum, and Polygon chains were transferred to three hacker addresses. Poly Network has requested the cryptocurrency industry to block transfers of the stolen coins.

Foreign media reported that the damage scale reached $600 million, making it the largest hacking incident in DeFi history.

This hacking scale is analyzed to be comparable to the past hacking of Mt. Gox, the world's largest cryptocurrency exchange at the time.

A major foreign media outlet stated that this hacking case could deliver a decisive blow to the rapidly growing DeFi sector.

This is because it revealed that investor protection is still insufficient amid growing calls for regulation in the cryptocurrency field.

Earlier, Gary Gensler, chairman of the U.S. Securities and Exchange Commission (SEC), expressed the urgent need for regulation not only on cryptocurrencies but also on DeFi.

Meanwhile, on the same day, Bitcoin was trading at $45,500, down 1.7% from the previous day; Ethereum was down 0.3% at $3,143; and Dogecoin was down 1.4% at 25.5 cents.

This content was produced with the assistance of AI translation services.