Polymarket confirms $2.94M theft after third party breach

A recent security breach at Polymarket, caused by compromised third-party vendor software, resulted in a theft of approximately $2.94 million in cryptocurrency from affected user wallets. Hackers injected malicious code into the platform, draining funds from over 11 user accounts holding PUSD, which were then converted into ETH. Polymarket confirmed it would reimburse users while acknowledging the incident and announcing it has contained the breach. The attack was identified through a phishing campaign, and experts reported the movement of stolen funds from Polygon to Ethereum.