$53 Million worth of stolen Ether from Poloniex never returned to the exchange.

More than $50 million worth of Ether (ETH) stolen in the notorious Poloniex hack from November 2023 has been traced to the privacy protocol Tornado Cash, according to blockchain investigation firm PeckShield. The hack saw over $100 million worth of Ether lost, and although Poloniex claimed to have identified the hacker and offered a $10 million bounty, the stolen funds were never returned. The incident was likely due to a compromise of private keys, says blockchain security firm CertiK. The hacker transferred over 17,800 ETH from six different wallets into a single Tornado Cash address. Poloniex has since resumed operations and appointed a security auditing firm to enhance fund security. Poloniex owner Justin Sun has promised to fully reimburse affected users and is seeking collaborations with other exchanges to recover the lost funds.