Poly Network suffers $600 million cryptocurrency loot, the largest in the world

Poly Network suffers $600 million cryptocurrency loot, the largest in the world

The crypto-asset website, which is considered one of the largest in the world, has identified the attack as coming from three accounts and reports that it will initiate legal action.

Poly Network, the blockchain-based decentralized financial platform, has reported through its Twitter account a massive attack by hackers in which $600 million was looted.

This has been rated as the world’s largest DeFi scam or a group of tools that integrate investors into cryptocurrency, referring to sites specializing in crypto assets.

“We regret to announce that PolyNetwork has been attacked on BinanceChain, Ethereum and 0xPolygon,” Poly Network said Tuesday on the social network, calling it “blockchain miners and cryptocurrency exchanges affected” for blacklisting tokens from accounts you have specified on Twitter.

Read also: 5 cases of fraud in millions of dollars in cryptocurrency

Poly Network, which integrates a cross-chain protocol to exchange tokens on several blockchains including Bitcoin, Ethereum and Ontology, has announced that it will initiate legal action against those involved. He also called on hackers to return the stolen amount.

It also specified that the attack was logged from Ethereum, for $264.8 million worth of tokens; Binance Chain account of $250.8 million; And one by Polygon is about $85 million.

Experts Warn of the Risks of Bitcoin in El Salvador

The high volatility of cryptocurrencies, their lack of regulation and weakness makes the world’s economists, financial institutions and international organizations warn about the risks of investing in digital assets.

Countries such as Spain, China, and Turkey have registered cases of multimillion-dollar fraud in the cryptocurrency space. In El Salvador, a bitcoin law will go into effect on September 7 in an environment of disinformation, suspicion and anxiety due to lack of clarity on the part of central government authorities about how it will operate.

There are several initiatives in the Legislative Council to abolish this system presented by different sectors that indicated its inequality and high risks due to the volatility of the virtual currency.

What’s more: The World Bank will not support the Bukele government to implement Bitcoin in El Salvador

Experts in investment issues also stated that it will be difficult for investors to enter into this dynamic, because they point to “monetary stability” as one of the necessary and important characteristics of the sector.

The CEO of the Salvadoran Association of Industrialists (ASI), Jorge Arreaza, noted that at the moment “there are many companies that need information about dealing with bitcoin.”

In an interview with financial news agency Kitco News, economist Steve Hanke, a professor at Johns Hopkins University, said that the use of cryptocurrency in El Salvador “has the potential to collapse the economy. Because all the dollars in El Salvador can be absorbed and there will be no money in the country.” He emphasized that They do not have a national currency.

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The International Monetary Fund (IMF) has also warned El Salvador that adopting bitcoin as a legal currency could involve “significant risks,” which is why it urged authorities to “extremely rigorous analysis.”

“Bitcoin’s adoption as legal tender raises a number of macroeconomic, financial and legal issues that require very careful analysis,” IMF spokesman Gerry Rice said last June.

The World Bank also refused to accompany El Salvador in implementing bitcoin as a legal currency.

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