05 Oct 2022

‘Biggest Risk in DeFi’ Seen Coming From Backdoor Software Threat

The automated software programs that power much of the DeFi, or decentralized finance, activity on the Ethereum blockchain appear to be less tamper resistant than advertised. In recent years, most of these “smart contracts” have evolved to include a back door, or a way to change them, sometimes in drastic ways,

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19 Sep 2022

Profanity tool vulnerability drains $3.3M despite 1Inch warning

Decentralized exchange (DEX) aggregator 1inch Network issued a warning to crypto investors after identifying a vulnerability in Profanity, an Ethereum vanity address generating tool. Despite the proactive warning, apparently, hackers were able to make away with $3.3 million worth of cryptocurrencies. On Thursday, 1inch revealed the lack of safety in using

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12 Sep 2022

‘This is the jungle’: Law enforcement slowly waking up to the threat of DeFi exploits

At the end of August, the FBI issued a public service announcement on the susceptibility for cybercrime in DeFi (decentralized finance), the growing crypto segment of financial applications backed by blockchain technology. Of the $1.3 billion stolen in cryptocurrencies in the first three months of 2022, 97% came from DeFi

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18 Aug 2022

Hack-Prone Blockchain Bridges Expose DeFi’s Achilles Heel

If 2018 was the Year of the Hack for centralized crypto exchanges, decentralized blockchain bridges seem destined to win that honor this year. Over $1.9 billion was stolen in cross-chain hacks in the first half of 2022, according to a new blog post by crypto analytic firm Chainalysis. Cross-chain bridges have come

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08 Aug 2022

Master of Anons: How a Crypto Developer Faked a DeFi Ecosystem

Something about Sunny Aggregator felt off-kilter to the cryptocurrency user known as Saint Eclectic. Sunny was the newest decentralized finance (DeFi) app to hit Solana during that blockchain’s scorching bull run last summer, when its native token jumped fivefold. Sunny was barely two weeks old by early September, but billions

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05 Aug 2022

Crypto’s Future Depends on Security, Ledger Exec Say

Crypto exchanges and other intermediaries such as cross-chain bridges are where the latest series of crypto hacks on internet-based “hot” wallets have been taking place. Exchanges need to put in additional security measures, said Alex Zinder, global head of hardware wallet maker Ledger Enterprises. Zinder said on CoinDesk TV’s “First

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05 Aug 2022

Nomad and Solana hacks: what are the lessons for cryptocurrency investors?

Web3 adoption seem inevitable, but so does the increase in security issues and hacks. What are the main factors causing this? The high rate of innovation in the crypto world and the frequent software upgrades of the multi-chain world look like they will inevitably introduce more vulnerabilities. We need to

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02 Aug 2022

Threat Actors Merging Malicious Activity With Cryptocurrency Show How the Attack Landscape is Developing in Decentralized Finance

Widespread implementation of decentralized finance (DeFi) systems since 2020 has created new fertile ground for a variety of threat actors to shift the development of cyberattack tactics, techniques, and procedures (TTPs). The number of threat actors participating in DeFi activity has grown substantially over the past two years. Current threat

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29 Jul 2022

Solana-based Nirvana loses $3.5M to flash loan exploit; tokens tank 90%

Solana-based DeFi protocol, Nirvana Finance lost $3.5 million to a flash loan attack on July 28. The attack resulted in Nirvana’s native token ANA losing 85% of its value. The token’s price fell from $8.97 to as low as $0.81 within hours of the attack before rebounding to its current value

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29 Jul 2022

Hackers Force a $4B Question: Can DeFi Ever Be Safe?

Yet another decentralized lending and algorithmic stablecoin protocol was hacked yesterday, with $3.5 million stolen from its treasury via what appears for now to be a one-off exploit. As a result, Nirvana Finance’s NIRV stablecoin lost its peg — it’s at 15 cents as of this writing, and the ANA

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