Categories: Finance

$27 million worth of unclaimed user funds stuck in Polygon Bridge

Crypto asset holders have not completed more than 35,000 withdrawal procedures through Polygon Bridge, where about $27 million remained unclaimed.

Cryptocurrency holders use the Polygon Bridge to send assets between the Ethereum and Polygon blockchains. Technologically, tokens that leave the Ethereum network are blocked. At the same time, the same number of tokens is created in Polygon. When transferring back to Ethereum, Polygon tokens are burned, and Ethereum tokens are activated again.

Transfers through Polygon Bridge are performed almost instantly and the user needs to make only one transaction. However, withdrawal confirmation can take some time, as users must transfer their funds to Ethereum in the initial transaction, wait an hour or so, and then claim their tokens in the second transaction in order to properly withdraw.

According to a ZenGo crypto wallet blog post, there have been over 35,000 pending reverse transfers to the Ethereum blockchain. These transfers are split between ETH and stablecoins USDT, USDC, DAI for $27 million. The ZenGo team suggests that the two-step withdrawal process may be the cause of the stuck transactions.

“While it is difficult to imagine how someone could simply forget about millions of US dollars, we assume that this may be due to the fact that additional transactions are required and that the funds cannot be claimed immediately. Therefore, there is a potential for errors like this to occur,” explained ZenGo co-founder and CTO Tal Be’ery.

In early November, analysts at Bernstaein published a report praising the Polygon ecosystem for taking the right steps in blockchain development. Analysts say Polygon could become one of the leading ecosystems in the future, playing a particularly important role in the transition of traditional financial companies to Web3.

Source: Bits

Published by

Recent Posts

Lukashenko says Putin may move more nukes to Belarus

Russia may deploy more strategic nuclear weapons to Belarus, in addition to the tactical nuclear…

2 hours ago

Ximena Navarrete welcomes her second baby

With great joy, Ximena Navarrete announced in their social networks the arrival of their second…

2 hours ago

Woman gave up alcohol for a month and was surprised at the benefits

Alice Gibbs is an internet culture and trends reporter for the magazine Newsweek, based in…

2 hours ago

Boy spends a thousand dollars ordering food with his dad’s cell phone

We know that it is important that adolescents and, especially, young children do not use…

2 hours ago

15 Movies that will help you strengthen your confidence and self-esteem

Oscar Wilde said: "Loving yourself is the beginning of an adventure that lasts a lifetime"…

2 hours ago

Rumors claim that King Felipe VI and Queen Letizia of Spain are getting divorced

Unfortunately, in recent days, rumors of a possible divorce between King Felipe VI and Queen…

2 hours ago