Security has been a critical challenge for decentralized finance (DeFi) and its evolution. Between 2020 and 2022, hackers stole more than $2.5 billion through vulnerabilities in cross-chain bridges, Token Terminal data shows. Compared to other security breaches, this is a substantial amount.
The problems with bridges have a cause: They all have an “inherent vulnerability,” Theo Gauthier, founder and CEO of Toposware, explained to Cointelegraph. According to Gauthier, no matter how secure a bridge itself is, it is “totally dependent on the security of the chains it connects,” meaning that any breach or failure in one of the two bridged chains leaves the bridge itself vulnerable. set.
In short, bridges are used to connect different blockchains and are meant to solve the lack of standards between protocols. Blockchain interoperability is seen as a critical goal to improve the end-user experience and promote greater adoption of cryptocurrencies.
Solutions for interoperability and security in the cryptocurrency sector are gaining ground despite the bear market. One of the main technologies available is Zero-Knowledge Rollups (ZKPs), which allow data accuracy to be verified and proven without revealing more information, unlike typical interoperability solutions that require networks to disclose their states.
Through ZKPs, it is also possible to create an Ethereum Virtual Machine (EVM) powered by ZK, Polygon’s director of information security Mudit Gupta noted, allowing developers to launch scalable and fully private compliant smart contracts. with Ethereum. Gupta also noted that:
“We believe in the old cryptographic adage of ‘don’t trust, verify’. With solutions powered by ZK, this is absolutely possible. The zkEVM has proven that it can maintain privacy, decentralization, speed and scalability. With this, we don’t there is no need to sacrifice anything that has made the cryptocurrency space what it is, and in fact improves it.”
For bridges, the solution would be real-time monitoring and auditing standards, said Gustavo González, Open Zeppelin solutions developer. Bridges’ smart contracts should be audited, ideally by multiple third parties, before being released “into the wild.” Re-audits should be performed each time updates are made, and all results should be transparently shared with the community. .”
Machine learning technology could also be used to flag potentially suspicious patterns of activity with advanced security monitoring, detecting an attack before it actually occurs, González said.
Combining security software solutions with blockchain protocols could make the entire space more secure for users and investors. A Bitcoin (BTC) maximalist would say, “Use Bitcoin and you won’t have these problems.” While working on smart contracts for Bitcoin, DeFi players will be tasked with building trust within their respective ecosystems amid ongoing security concerns.
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