Predict.fun Pledges Full Refunds After Roughly 400,000 USDT Theft

2 min read
Predict.fun Pledges Full Refunds After Roughly 400,000 USDT Theft
PrimeXBT Editorial Team
Reviewed by PrimeXBT

Topics in article

Predict.fun, a BNB Chain prediction market, says unauthorized transfers from user wallets total approximately 400,000 USDT and has pledged full reimbursement. Its preliminary investigation points to a possible compromise of a third-party API documentation site. Onchain data cited by The Defiant shows a smaller traced subset.

Predict.fun, a BNB Chain prediction market, said on Oct. 27 that unauthorized transfers from user wallets totaled approximately 400,000 USDT. The platform pledged to reimburse affected users in full.

According to Predict.fun, "fully reimburse all affected users for any funds lost" was its commitment, stated in its X statement. However, it did not specify an exact affected-user count, a payout process or a reimbursement date.

Documentation site suspected as the entry point

Predict.fun said its preliminary investigation suggested that its API documentation site, hosted by a third-party provider, may have been compromised. The platform said the suspected compromise potentially affected a small number of users over a short period.

The company has taken the documentation site offline, and the site will stay unavailable until the investigation is complete. The statement sets no date for restoring access. Predict.fun also promised a full post-mortem explaining what happened and its prevention measures.

It has not yet explained how the suspected compromise enabled wallet transfers or which user interactions created exposure.

Onchain figures differ from the platform's tally

The operator's tally is higher than an earlier estimate by onchain analyst Naeven, who identified 19 victims and traced 105 ETH, valued at roughly $260,000. Naeven said there were likely more victims and that funds were being bridged to Ethereum and forwarded to Tornado Cash.

The figures measure different stages. Predict.fun described losses from user wallets in USDT, while Naeven tracked funds downstream in ETH. Separately, The Defiant calculated from BscScan histories that 147,395 USDT arrived from 17 distinct wallets on Oct. 27. The outlet describes this as a traced subset, not a complete loss tally.

In-app wallets draw attention

Predict.fun's documentation describes using Privy and ZeroDev to generate a smart contract wallet automatically when a user creates an account. One user, dethective, reported losing roughly $5,000 and said funds in his separate signing wallet were untouched.

Sources: The Defiant, crypto.news

Trading involves risk.

Most traded markets

XAU / USD
+1.03% 4,058.27
CRUDE
-1.49% 101.164
BTC / USD
+0.14% 80,426.8
EUR / USD
-0.34% 1.11349
USTEC
+1.16% 29,629.35
NFLX
-1.84% 62.48
View all markets

Author

PrimeXBT
Our Editorial Team consists of leading experts with a proven record in the fields of trading, cryptocurrencies, blockchain and finance. We thoroughly research the sources of information in order to provide readers with quality content that serves edu...
Read author’s articles
Alert Triangle Risk Disclaimer
Disclaimer: Some past publications may be outdated. We recommend following our news to stay up to date with the latest information. For any questions, feel free to contact our support team via the chat below.
The content provided here is for informational purposes only. It is not intended as personal investment advice and does not constitute a solicitation or invitation to engage in any financial transactions, investments, or related activities. Past performance is not a reliable indicator of future results.
The financial products offered by the Company are complex and come with a high risk of losing money rapidly due to leverage. These products may not be suitable for all investors. Before engaging, you should consider whether you understand how these leveraged products work and whether you can afford the high risk of losing your money.
The Company does not accept clients from the Restricted Jurisdictions as indicated in our website/ T&C. Some services or products may not be available in your jurisdiction.
The applicable legal entity and its respective products and services depend on the client’s country of residence and the entity with which the client has established a contractual relationship during registration.

Today in markets

Browse Crypto News

Register Now

Trading involves risk

Get started in minutes

Our clients love how fast and simple our sign-up is. It takes just a few minutes to get started!

Get Started Get Started
Get started in minutes

Need Help?

Risk Warning:
Trading in leveraged products carries a high level of risk and may not be suitable for all investors.