Predict.fun Users Lose $260K in Suspected Wallet Drain

At least 19 wallets linked to prediction market platform Predict.fun have reportedly been drained of approximately 105 ETH, worth $260,000, according to findings shared by on-chain investigator Naeven. Investigators have traced the suspected stolen funds through multiple intermediary wallets on Ethereum before being forwarded to the cryptocurrency mixer Tornado Cash.

The security incident first surfaced on October 27 after an X user, dethective, reported losing roughly $5,000 within an hour and raised concerns that other users of the platform were experiencing similar unauthorized withdrawals. Subsequent analysis by Naeven expanded the scope, identifying at least 19 affected addresses holding a collective total of 105 ETH.

Investigation and Transaction Flow

According to Naeven's findings, funds from multiple victim addresses were transferred across collection addresses before reaching Tornado Cash, a mixing service commonly used to obscure transaction histories. The investigator shared a transaction flow diagram illustrating how victim wallets connected to intermediary addresses before converging on addresses identified as drainers.

While the investigation established a clear movement of assets toward Tornado Cash, the exact vector of the breach remains unclear. Investigators have not yet determined whether compromised permissions, malicious signatures, or a vulnerable smart contract were responsible for the unauthorized withdrawals.

Platform Context and Warnings

Predict.fun operates on BNB Smart Chain, utilizing USDT as collateral for prediction markets where participants trade positions based on the outcomes of future events. The platform relies on conditional token contracts to manage positions, settlements, and redemption transactions.

Following the identification of the drained wallets, Naeven urged users who still hold funds on Predict.fun to move their assets out of the platform immediately as investigations continue.

Key facts

• At least 19 wallets linked to Predict.fun lost approximately 105 ETH, valued at $260,000.
• On-chain investigator Naeven reported the suspected incident on October 27.
• Stolen funds were traced through intermediary wallets on Ethereum into cryptocurrency mixer Tornado Cash.
• The exact attack vector, whether malicious signatures or a vulnerable contract, remains undetermined.