Predict.fun to Reimburse $400,000 After Hack via Binance Wallet
The attack hit an external documentation site, not the core platform. The case also puts Binance Wallet and pre-market trading in the PREDICT token in a tougher light.
Key Takeaways
- Predict.fun is fully reimbursing users after attackers stole about $400,000 from the prediction market in Binance Wallet.
- Based on the initial findings, the vulnerability was not in the platform itself, but in a third-party documentation site.
- The hack came two days after Binance Futures opened trading in the PREDICT token, which was valued on paper at $1.43 billion.
Predict.fun says it will fully reimburse users after attackers stole about $400,000 (€358,700) from the prediction market running in the Binance Wallet. The hack came just two days after Binance Futures opened trading in the PREDICT token, which was valued on paper at $1.43 billion (€1.3 billion).
How the Hack Happened
According to the initial findings, the weak spot was not in the platform's core itself, but in a third-party documentation site. That site explained to developers how to connect with the platform and has since been taken offline. Predict.fun has not said exactly how many users were affected.
The stolen funds were USDT, the stablecoin designed to stay worth about $1 (€0.90). Predict.fun lets users buy yes-or-no shares on real-world events, like elections or soccer games. The team said all affected users will be fully compensated for losses directly caused by this incident.
Binance and the PREDICT Token
The timing makes the case extra sensitive. Predict.fun's token has not officially launched yet, but through Binance Futures, traders can already speculate on it with pre-market contracts and up to 5x leverage. According to analysts, the $1.43 billion (€1.3 billion) valuation has climbed sharply compared with similar projects.
One analyst also looked at 28 earlier tokens that Binance listed this way. One month after launch, the average token was down 49%. Predict.fun has not yet disclosed who holds how much PREDICT, so for now the market has to work with very little transparency.
Why This Matters
The case shows how vulnerable crypto platforms can be when an outside service gets hit. In June, Polymarket also promised full reimbursement after an outsider drained about $3 million (€2.7 million) from user funds through a vendor's code. For European crypto followers, the key point is that incidents like this are not just about the core app itself, but also the parties around it, like documentation, wallets, and other connected services.
An earlier hack at Polymarket also showed how quickly a third party can make the damage worse, even if the platform itself is not directly hit.
