Poloniex has announced the restoration of its deposit and withdrawal services following a security breach that affected its hot wallets, as per a statement released on November 15. The breach occurred on November 10, when a hacker targeted one of the exchange's hot wallets, transferring over $100 million in digital assets, including Ethereum (ETH). This incident led to a significant increase in the value of the Tron blockchain's TRX token, sparking rumors of an inside job, as the stolen funds were used to manipulate its price.

In response to the breach, Justin Sun, who owns the exchange, acknowledged the hack and stated that an investigation was underway, though he did not provide detailed information about the theft. Sun also proposed a 5% reward for the return of the stolen assets by the hacker. Poloniex has recently updated that it is close to completing the recovery of its wallets, which will enable the platform to operate normally again.

In the meantime, the company has hired a renowned, yet undisclosed, "top-tier" security firm to enhance the protection of user funds. This step is part of ongoing security audits, after which the firm intends to quickly restore deposit and withdrawal services. As of now, the exchange has not publicly disclosed its strategy for compensating users affected by the breach. Nonetheless, Justin Sun has previously reassured the community, stating that Poloniex is financially robust and committed to fully reimbursing the impacted funds.

In a related context, Poloniex is not the only exchange connected to Sun that has experienced a security breach recently. In September, HTX was targeted in a hacking incident, leading to a loss of $7.9 million. Fortunately, in this case, the hacker returned all the assets that were taken from the platform.