Prediction market giant Polymarket has confirmed a breach that allowed hackers to steal user funds after a third-party vendor was compromised. While the company says it’s contained the incident, the exact nature of the breach remains unclear. PeckShield reported on X that around $3 million worth of cryptocurrency was stolen by a phishing campaign targeting Polymarket users.

Since Sunday, two people have claimed to have had their funds stolen from the platform. Polymarket offers users the option to be paid in cryptocurrency, making them vulnerable to such attacks. The hack comes after the company faced scrutiny for paying online creators to post misleading promotional videos, revealing a troubling pattern of ethical lapses.

As the dust settles, Polymarket is refunding affected victims, assuring full compensation for their losses. The incident highlights the ongoing challenges in cybersecurity and user protection within the digital finance sector. Whether this will prompt broader changes remains to be seen, but one thing is certain: it’s another nail in the coffin of trust for online gambling platforms.