Jaynti Kanani, co-founder of Polygon said: “Considering how risky it is. I believe our team made the best decision possible.”
Polygon, the Layer-2 Scaling network on Ethereum, patched a network vulnerability that puts nearly $24 billion worth of MATIC tokens at risk.
According to a Polygon blog post on Dec. 29, a “significant” vulnerability exists in the method of validation of cryptographic transactions. Genesis contract Proof-of-Stake (PoS) found by white hats (hackers looking for vulnerabilities and laying defenses for companies or entities) on Dec. 3 and 4 via blockchain security and bug bounty from platform Immunefi.
The vulnerability puts more than 9.27 billion of MATIC at risk. That’s about $23.6 billion at the time of writing the article. This represents the majority of the total supply of 10 billion tokens.
Polygon reported that the bug was fixed at block #22156660 via the “Emergency Bor Upgrade” to the Mainnet on December 5th around 7:27 AM GST. Polygon also added that the malicious “malicious hacker” This person attempted to steal $801,601 of MATIC, or $2.04 million in total, before the bug was resolved. Polygon wrote in a blog post on Facebook:
“Polygon’s core team working with a group of experts from Immunefi promptly resolved the issue. They have also notified all validators and nodes. In addition, they continue to oversee the core dev to upgrade 80% of the network 24/7 non-stop.”
Polygon states that the issue was resolved after trying the “silent patches” policy by the Go Ethereum (Geth) team in November 2020. Under that policy, Reports from projects or developers indicate that bugs are fixed 4-8 weeks after they go live to avoid being hit while patching.
According to Immunefi, white hat hacker “Leon Spacewalker” was the first to report a security vulnerability on December 3. Leon will be awarded $2.2 million in stablecoins, while the second anonymous hacker will be awarded $2.2 million. “Whitehat2” will receive 500,000 MATIC.
($1.27 million) from Polygon
Polygon co-founder Jaynti Kanani emphasizes the network’s ability to quickly fix bugs. It states in the blog post that:
“It’s important to test the resilience of our network. including the ability to operate decisively in the midst of stressful situations Considering how risky it is I believe our team made the best decision possible.”
According to Coingecko, MATIC is priced at $2.45 and has seen an increase of 35.1% over the past 30 days, despite the recent downturn in crypto assets this month.
refer : LINK