The DeFi segment of the cryptocurrency market is seeing a lot of hacking. Every week, we hear about one hacking case. This problem is gradually becoming very serious. Poly Network has recently been hacked.
From the last 7 months till now, $2.85 billion in funds have been stolen by hackers from the DeFi market. With each passing month, the hacker’s courage is increasing
The solution to this problem has been discovered in the most recent development. Because of this development, the DeFi attack may be brought under control and hacking can be stopped. This thing will protect the DeFi market.
Circuit Breaker
The new Ethereum standard ERC 7265 was developed by the 3 Ethereum developers. This ERC 7265 has been named ‘Circuit Breaker’.
According to the developers of ERC 7265, they will solve DeFi’s major problem, “SECURITY” with the use of their new development ‘Circuit Breaker.’ When a hacker attacks a smart contract or a protocol, the funds frequently get stolen before the developer can notice them.
Poly Network
In the case of Poly Network, billions of tokens were minted, and more than ten million dollars were sold by the hacker and kept in their pocket.
The reason for such a big hack in Poly Network is also that by the time the developer discovers it, the entire game has already been lost.
Limit
ERC 7265 circuit breaker is being developed, and once this standard is properly developed and published, all smart contracts will be deployed on this standard.
A certain limit will be imposed on any smart contracts that are issued on ERC 7265. According to Circuit Breaker’s developer, “We have analyzed the DeFi market and found that at any given time, there is repeated hacking activity when there is a 25% to 40% volatility within any protocol.”
The purpose of the person who has done the hacking is to get the money out of there immediately. Due to this activity, the price of the token drops.
ERC 7265
This circuit breaker will set the limit. When the developer launches any of his tokens, he may specify in the smart contract that if the price range, TVL, and volatility of the token exceed a specific percentage, that volatility should be locked. Locking indicates that something is wrong.
The main concern now is what will happen if the developer starts stealing his own tokens after ERC 7265.
DAO is in charge of managing a DAO protocol that is not governed by any authorities, developers, or founders. If the DAO who owns the token is its decision maker, that means the authority of ownership is decentralized. The project’s developers cannot steal or hack under decentralized ownership.
Metis
What to do if you have bought METIS tokens on BNBChain. During the Poly Network hack, their team took snapshots. Anyone who owned METIS tokens in BNBChain prior to this hacking will be given the same number of tokens when the new smart contract on a BNBChain is launched. Only those people will get their funds back.
Ripple
Ripple’s lawsuit is heating up, and the outcome is expected in a few weeks. Ripple’s lawsuit is heating up, and its ruling is expected in a few weeks. Even before the case’s verdict, an XRP investor filed a lawsuit against Ripple, and in this case, the ruling was made against Ripple.
XRP Investors claimed that they purchased XRP tokens in 2018 and that Ripple did not inform us that XRP is a security at that time. As a result, we lost our money, and the investor requested the court to order Ripple to repay their money.
The court ruled in favor of the investor, saying that sure, your claim is valid, but you must wait until the final verdict of Ripple’s lawsuit with the SEC will not come.
If the court says that Ripple is a ‘Security’ in its final ruling, all investors who have claimed for repayment will be refunded. If Ripple wins this time, the investor’s claim will be considered null and void.