DeFi Protocol bZx Hacked For the Third Time

[Whited35 15285]

Just in, the DeFi lending protocol bZx has now lost nearly $10 million equivalent currencies to hacks this year.Due to increasing craze in DeFi, I believe so many DeFi platforms came in this existance without solid security adjustments. News like this definitely gives the negative impressions to the investors on DeFi platforms. The bZx, DeFi protocol has been hacked third time this year which resulted to lose $8 million worth currencies  in user deposits and unfortunately that much amount is now gone to the criminal's pockets. It indicates a growing pain in the DeFi space. 
So guys, what does it means for DeFi? Does this sort of multiple DeFi platforms hacking news indicates DeFi is in extremely experimental mode in the case of crypto sphere ? 
Reference:-

• https://eng.ambcrypto.com/bzx-hacked-again-as-duplication-bug-costs-protocol-8m-in-user-deposits/
• https://decrypt.co/resources/bzx-ethereum-defi-decentralized-finance-explained-guide
• https://decrypt.co/41718/defi-protocol-bzx-hacked-for-third-time-loses-8-million

[rekter 8129]

Well that's how i see DeFi, code is the law and it's safe until it's not.

 

It's like people have forgotten that code can have bugs. We have been lulled into false security because Bitcoin hasn't been ever hacked and dao hack was such a long time ago it seems. Now there are these new complex protocols we should trust millions of dollars worth cryptos even though they are new and untested by time.

Edited September 16, 2020 by rekter

[Whited35 15285]

1 hour ago, rekter said:

It's like people have forgotten that code can have bugs. We have been lulled into false security because Bitcoin hasn't been ever hacked and dao hack was such a long time ago it seems.

@rekter Most of the DeFi platforms came into existences just noticing one's incredible success rates of benefits according to growing DeFi craze. Hackers will be always eyeing toward the vulnerability to make successful attack. Regarding Bitcoin, engineers already solved possible network hack. Here is detail that I have created.

 

[Sumayya 493]

15 hours ago, Whited35 said:

So guys, what does it means for DeFi? Does this sort of multiple DeFi platforms hacking news indicates DeFi is in extremely experimental mode in the case of crypto sphere ? 

What I could say is that, so many projects whose are just normal project concerted their projects into defi because they found out that, that was the major trend and it could boost their project to the next level. They wouldn't bother much about the security and after that not knowing that they will be the main target of the criminal. Now with that money all gone, how are they gonna compensate those that are affected?

[rekter 8129]

8 minutes ago, Whited35 said:

Regarding Bitcoin, engineers already solved possible network hack. Here is detail that I have created.

 

Yeah, i read about that, we got lucky that it was found by someone who wanted it to get fixed. Imagine how much money one could make by shorting bitcoin with 100x leverage and then releasing the bug to public and not secretly to devs.

 

But like i said, it hasn't been hacked yet.

Edited September 16, 2020 by rekter

[Oplia45 28]

It's like persons engage in ancient history that cryptogram is able to gain bugs. We are inflicted with been lulled into deceiving defense because Bitcoin hasn't been always hacked and dao chop was such an elongated time in the past it seems. at present in attendance are these new convoluted protocols we must confidence millions of dollars merit cryptos drawn despite the fact that they are new and experimental by time.

[ETheHedgehog 3104]

in my opinion, multiple hacks is never a good sign, this shows that the security is still not on a level high enough that's ready for mass adoption, while it's true that other platforms also got hacked before, but not this frequently in a short time span

[Raqeebzy 6456]

A lot don't care about the type of DeFi platform they choose, especially taking the security perspective and choosing the most secured ones of them. I might also employ some programmers and create a DeFi platform now and in few days I can boast of solid customers; that's how crazy DeFi is right now.

bZx getting hacked over and over again and still increasing users explains it all.

[Whited35 15285]

1 hour ago, ETheHedgehog said:

in my opinion, multiple hacks is never a good sign, this shows that the security is still not on a level high enough that's ready for mass adoption, while it's true that other platforms also got hacked before, but not this frequently in a short time span

@ETheHedgehog So what do you think, what can it means to the DeFi ? Do you think, this sort of news may affect the current DeFi craze ? So many potential investors have just left DeFi protocols due to FOMO but still billions worth currencies are locked into DeFi smart contract. 

[ETheHedgehog 3104]

10 hours ago, Whited35 said:

@ETheHedgehog So what do you think, what can it means to the DeFi ? Do you think, this sort of news may affect the current DeFi craze ? So many potential investors have just left DeFi protocols due to FOMO but still billions worth currencies are locked into DeFi smart contract. 

i can't say for sure, some people may see this as a big red flag and some investors as well, others may keep believing and say it will be more secure by the time it reaches the masses, but this sort of news should definitely draw more attention

[nykas 2812]

I participated in Bzrx bounty and had some tokens. Fortunately I sold them in right time. I think Holding such risky coins is very dangerous and I prefer to get instant profit from DeFi projects to avoid money losing

[Whited35 15285]

On 9/16/2020 at 4:44 PM, Raqeebzy said:

I might also employ some programmers and create a DeFi platform now and in few days I can boast of solid customers; that's how crazy DeFi is right now.

bZx getting hacked over and over again and still increasing users explains it all.

That's why most of the time, I am loving to represent this sort of the activities as DeFi craze. I know, DeFi platforms are still at the highly experimental phase but incredibly, it is highly competitive and that can be a reason some of the platform are getting hacked.

 

3 hours ago, nykas said:

I participated in Bzrx bounty and had some tokens. Fortunately I sold them in right time.

Looking like you were lucky 😉

[Raqeebzy 6456]

22 hours ago, Whited35 said:

That's why most of the time, I am loving to represent this sort of the activities as DeFi craze. I know, DeFi platforms are still at the highly experimental phase but incredibly, it is highly competitive and that can be a reason some of the platform are getting hacked.

The competitiveness and the massive gains percentage has been the key factors behind its booming. I can't count how many new DeFi platform I have seen in a week; a new person would surely be confused on which is the right one. Hence, call for more understanding and research.

[Whited35 15285]

14 hours ago, Raqeebzy said:

The competitiveness and the massive gains percentage has been the key factors behind its booming. I can't count how many new DeFi platform I have seen in a week; a new person would surely be confused on which is the right one. Hence, call for more understanding and research.

Honestly, it took me exactly 2 months of continue research to find the best DeFi platforms to make passive incomes from it. Real and trusted platforms gives you good benefits if you can afford to invest at least $500 otherwise weakly managed platforms are enemies to loss our hard earned money. 

[Raqeebzy 6456]

2 minutes ago, Whited35 said:

Honestly, it took me exactly 2 months of continue research to find the best DeFi platforms to make passive incomes from it. Real and trusted platforms gives you good benefit

Surprisingly, till now I haven't still find the best DeFi platform for myself due to one or two things I am considering. I don't want to miss out to be honest but also, I am not in a rush as too. I have seen lots of recommendations too that I will find from but still, I want to be careful.

[Relium 424]

it is really sad to see a financil project that holds users fund hacked by someone with 3 times. They should work with some insurance company like bitgo for crypto loses next time and upgrade their firewall systemi fill the bugs in website. This people investing their money for get some profit, not for losing them. This type of hack incidents keep damage crypto and defi industry.

[Whited35 15285]

On 9/23/2020 at 10:24 AM, Raqeebzy said:

I have seen lots of recommendations too that I will find from but still, I want to be careful.

If such recommendations are from social media platforms, I caution you, it does not work in the most of the cases. I have investigated myself by trialing a small amounts. I also perform site security tests before choosing DeFi platforms. 

 

[Raqeebzy 6456]

2 hours ago, Whited35 said:

If such recommendations are from social media platforms, I caution you, it does not work in the most of the cases. I have investigated myself by trialing a small amounts. I also perform site security tests before choosing DeFi platforms. 

 

No. I don't take recommendations of investment and crypto related information on telegram, it just won't end well. Normally, it is from crypto professionals who do crypto on full time basis and who happens to be my trusted acquittances. 

Not only DeFi platforms, exchanges, wallets should also go through a security check. We don't want to experience hack and scam exits anymore 😅.

[SuperCrypto 7193]

On 9/15/2020 at 5:14 PM, Whited35 said:

Just in, the DeFi lending protocol bZx has now lost nearly $10 million equivalent currencies to hacks this year.Due to increasing craze in DeFi, I believe so many DeFi platforms came in this existance without solid security adjustments. News like this definitely gives the negative impressions to the investors on DeFi platforms. The bZx, DeFi protocol has been hacked third time this year which resulted to lose $8 million worth currencies  in user deposits and unfortunately that much amount is now gone to the criminal's pockets. It indicates a growing pain in the DeFi space. 

bZx is the seventh largest Ethereum-backed DeFi-decentralized financing protocol in the world. There is currently $ 15.5 million worth of Ethereum in its contracts, DeFi Pulse data shows. So it's a big loss for Ethereum as well.

[duncun007 3577]

On 9/15/2020 at 5:14 PM, Whited35 said:

Just in, the DeFi lending protocol bZx has now lost nearly $10 million equivalent currencies to hacks this year.Due to increasing craze in DeFi, I believe so many DeFi platforms came in this existance without solid security adjustments.

this is why i wasnt so hyped about all the uniswap craze, from the start I didnt like this and it reminded me of the ICO days. whenever there is no security there will definitely be lots of hacks and people losing money.

[Whited35 15285]

3 hours ago, Raqeebzy said:

Not only DeFi platforms, exchanges, wallets should also go through a security check. We don't want to experience hack and scam exits anymore 😅.

Last time I scanned Atomic desktop wallet more than 17 times a day suspecting the possible cryptojacking. I started to check whole root folders to detect if there are any suspicious files stored or not, fortunately nothing were there. This is how I am still safe from scammer's attack. 

3 hours ago, SuperCrypto said:

So it's a big loss for Ethereum as well.

Exactly. Now you can notice lower network fee on Ethereum blockchain network as DeFi craze is in downtrend now.

[SuperCrypto 7193]

39 minutes ago, Whited35 said:

Exactly. Now you can notice lower network fee on Ethereum blockchain network as DeFi craze is in downtrend now.

Many projects of the decentralized financing system (DeFi) may contain gaps or clerical errors in their smart contracts, especially since DeFi applications are mostly experimental and may contain hidden errors, and this makes them vulnerable to losing cash, so public audits are necessary to discover these problems.

[Raqeebzy 6456]

2 hours ago, Whited35 said:

ast time I scanned Atomic desktop wallet more than 17 times a day suspecting the possible cryptojacking. I started to check whole root folders to detect if there are any suspicious files stored or not, fortunately nothing were there. This is how I am still safe from scammer's attack. 

Seventeen times is crazy but really I can't blame you. Getting a good platform isn't hard as being safe and secure with it all along. Cryptojacking is an another worrying trend; let's not even go there because I have lots of bad news but all well, it will be rare if that ever happen to me.

[Whited35 15285]

18 minutes ago, Raqeebzy said:

Seventeen times is crazy but really I can't blame you. Getting a good platform isn't hard as being safe and secure with it all along. Cryptojacking is an another worrying trend; let's not even go there because I have lots of bad news but all well, it will be rare if that ever happen to me.

@RaqeebzySometime if I notice anything suspicious, I keep running security scan regularly because hackers attempt to detect wormhole anytime. If you have not visited malicious sites or have never downloaded malware infected files, there is less chance that your device is being used for hackers' cryptojacking purpose. By the way, which antivirus have you installed on your smartphone? If you are accessing DeFi platform by using smartphone, you have to be extra careful. 

[Raqeebzy 6456]

11 minutes ago, Whited35 said:

@RaqeebzySometime if I notice anything suspicious, I keep running security scan regularly because hackers attempt to detect wormhole anytime. If you have not visited malicious sites or have never downloaded malware infected files, there is less chance that your device is being used for hackers' cryptojacking purpose. By the way, which antivirus have you installed on your smartphone? If you are accessing DeFi platform by using smartphone, you have to be extra careful. 

I have used Norton and Kaspaskey but presently doing with Avast, I don't know how effective it can be against crypto theft programs but the PC version is great and does almost everything. Normally, I download application very well not only on Google play and also movies; so I am aware of the dangers.