Poloniex, the cryptocurrency exchange owned by Justin Sun, has announced its readiness to resume full operations following a major security breach in November.
The breach, which resulted in a staggering loss of $100 million, had prompted an immediate halt of the exchange’s activities, leading to intensive restoration and security enhancement efforts.
The latest update from Poloniex reveals that the platform has nearly completed its restoration process. “The platform is now operating smoothly,” the exchange confirmed, highlighting the progress made in the wake of the hack. A critical aspect of this recovery phase involved engaging a top-tier security auditing firm, tasked with reinforcing the security measures to safeguard users’ funds.
Poloniex’s announcement also detailed the current status of the security audit, noting that they are in the final stages of this crucial process. The completion of the audit will be a green light for the exchange to resume deposit and withdrawal services, a move eagerly anticipated by its user base.
However, the journey to this point has not been without its challenges. The exchange faced a severe security breach on November 10th, which saw attackers pilfer at least $100 million in cryptocurrency. The breach, believed by blockchain security firm CertiK to be a result of a private key compromise, led to the immediate disabling of the affected wallet by the Poloniex team.
In the aftermath of the hack, Poloniex’s owner, Justin Sun, who acquired the exchange in 2019, reassured customers through X (formerly Twitter). He promised full reimbursement for those affected, citing Poloniex’s “healthy financial position.” Furthermore, Sun highlighted efforts to collaborate with other exchanges to recuperate the lost funds.
This incident follows an earlier controversy in 2023, where Poloniex agreed to a $7.6 million settlement with the U.S. Treasury Department’s Office of Foreign Asset Control for apparent violations of multiple sanctions programs.