Latest Updates (AUG 20）

Published in

Poly Network

4 min readAug 20, 2021

To everyone who remains concerned and has been keeping up with the progress on Poly Network,

Thank you for your continued interest. Over the past few days, we have received numerous offers of help along with encouragement, with numerous questions regarding our initial intentions, security, team efficiency, and many other aspects. While we have made restoring control of user assets our primary goal right from this incident first occurred and have made accelerated progress through our previously announced roadmap, we greatly regret not having been able to prove our sincerity and instill a sense of trust in Mr. White Hat. We have been thorough with all our initiatives and have made sure to make substantial progress before announcing them to the public. We hope that we will be able to deliver on our promises without disappointing our users. Since receiving feedback from Mr. White Hat and the community yesterday, we have also taken to self-reflection. People are more interested in being involved in the process more actively rather than just being spectators and accepting the results we achieve. Therefore, we would like to provide an update to address some of the major points of concern from Mr. White Hat and the community.

1. USDC recovery status

Previously, we planned to restore the cross-chain trading pool uniformly after all assets were recovered to ensure the fairness of user transactions. However, after communication with Mr. White Hat, community feedback, and internal team discussions, we decided to complete the process before 0:00 UTC, August 23rd.

The conversion between the 96,942,063 DAI and USDC returned by Mr. White Hat will be used to recover the 96,389,444.23 USDC and 673,227.94 DAI balance in the contract before the conversion occurred. At the same time, 87,557,051 BUSD will also be converted into USDC (BEP-20). We will use our own funds to compensate for any slippage loss and fees that are incurred for these transactions. We will also finish comparing asset changes and restoration by 0:00 UTC, August 23rd. Poly Network will restore the cross-chain transaction pool as soon as we are notified of the O3 team’s decision to restore it.

2. Stuck Historical Transaction Recovery

We apologize that some of Poly Bridge’s historical transactions are still stuck due to the impact received from the attack. We empathize with our users’ anxiety and appreciate their understanding and consideration. The team continues to work with a sense of urgency and is gradually prioritizing the affected historical transactions. Most of the historical transactions have been successfully posted within the last 24 hours and we expect to fully restore the stuck historical transactions within the next 24 hours.

However, please note that the transactions related to affected assets, namely WBTC, ETH, USDC, USDT cannot be restored within 24 hours. The reasons are as follows.

a. 28,953 ETH and 1,032 WBTC user assets still remain in the 3/4 multi-signature wallet, and the Poly Network team needs to wait for Mr. White Hat to provide private key authorization before processing any related transactions.
b. DAI has not been converted to USDC yet, as described above.
c. USDT is still frozen and we are in communication with Tether for a follow-up unlock plan.

After WBTC and ETH assets are returned, USDC assets are recovered and USDT assets are unfrozen, the Poly Network team will inform the O3 team at the earliest and assist with restoring the O3 Swap functionality as soon as possible. Thank you for your patience and cooperation. Understanding on the side of the users is crucial to us.

3. Cross-chain Bridge Service restoration

Today Poly Bridge has restored the cross-chain functionality for 13 assets, including: $8PAY, $AQT, $COW, $DMOD, $DOV , $LEV, $NEST, $ONG, $ONTd, $PLUT, $SPAY, $STN, and $YFI. As of now, Poly Bridge has restored the cross-chain functionality for 44 assets in total. Due to security reasons, Poly Bridge will gradually restore the cross-chain service for different types of assets.Users can freely conduct cross-chain transactions for a particular asset only after the respective projects have submitted applications and tested successfully. Projects can send in applications through this channel: https://forms.gle/sLENx34jPBUsrYjx7

Our current progress has been laid out above. We are still maintaining open communication with Mr. White Hat, and are resolved to clear up any misunderstandings that Mr. White Hat and the community may have regarding us.

Poly Network Team

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