Reading Time: 2 minutes

The Poly Network hacker has already returned approximately half of the $600 million stolen funds.
The hacker intends to pay back all of the funds.
Analysts claim the transparency of blockchain skills makes it complicated to launder stolen money.

Poly Network, an interoperable between various blockchains, was exploited for more than $600 million on August 10. The attacker exploited the network across Ethereum, Binance Smart Chain, and Polygon decentralized finance (DeFi) exchanges.

The hacker managed to steal around $85 million in USDC from the Polygon network, approximately $250 million from Binance Smart Chain, and over $270 million from the Ethereum network in what emerged to be the most important DeFi hack to date.

On the opposite hand, following a alternative of strict measures taken by the crypto industry bodies, the hacker revealed that he/she “is ready” to restore all the stolen funds.

Hacker Has Returned Half of Stolen Funds
On August 11 at around 4: 00 am UTC, the hacker despatched a transaction to himself with an embedded message that read:

READY TO RETURN THE FUND !

Afterward, the hacker requested a multi-sig wallet for refunding all the stolen tokens. “Failed to contact the poly. I want a secured multisig wallet from you,” the hacker said in a transaction.

The Poly Network attacker started returning stolen funds in USDC at around 8 am UTC. Initially, the hacker despatched 10, 10,000, and 1 million in USDC on the Polygon blockchain. Since then, the hacker has returned around half of the $600 million stolen funds.

Tom Robinson, chief scientist and co-found at Elliptic, said it is fairly hard to launder money given the transparent nature of the blockchain. He said:

I think this demonstrates that even supposing you happen to can steal cryptoassets, laundering them and cashing out is incredibly complicated, due to the transparency of the blockchain and the usage of blockchain analytics.

“In this case the hacker concluded that the safest option was factual to return the stolen assets,” Robinson additional added.

A large alternative of reasons may perhaps have played a role in convincing the hacker to return the stolen funds. For one, in the very early stages of the hack, Tether iced up approximately $33 million of the stolen funds.

Moreover, Poly Network asked miners to blacklist the hacker’s funds. “We are able to take legal actions and we race the hackers to return the assets,” the network said.

In addition, SlowMist, a Chinese cybersecurity agency, asserted that it has “grasped the attacker’s mailbox, IP, and plot fingerprints.” SlowMist additional added that they are “tracking conceivable identity clues related to the Poly Network attacker,” and called the attack “a lengthy-planned, organized and prepared attack.”

What may perhaps have really pushed the hacker into returning funds can be the fact that executives from almost all prominent crypto exchanges, including Binance, OKEx, and Huobi agreed to assist in limiting and minimizing the damage.

Read More