{"id":12829,"date":"2023-08-18T11:10:40","date_gmt":"2023-08-18T09:10:40","guid":{"rendered":"https:\/\/affidaty.io\/blog\/?p=12829"},"modified":"2023-08-18T14:54:45","modified_gmt":"2023-08-18T12:54:45","slug":"smart-contracts-security-vulnerabilities","status":"publish","type":"post","link":"https:\/\/affidaty.io\/blog\/en\/2023\/08\/smart-contracts-security-vulnerabilities\/","title":{"rendered":"Security of Smart Contracts"},"content":{"rendered":"\n
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Economic Impact, Differences from Traditional Code, Vulnerabilities<\/strong>, and Security<\/strong> Measures<\/p>\n<\/blockquote>\n\n\n\n

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Introduction<\/h2>\n\n\n\n

Smart contracts<\/strong> are revolutionizing the world of decentralized finance (DeFi), but like any new technology, they bring new security<\/strong> challenges. This article explores the economic impact of smart contract vulnerabilities<\/strong>, their differences from traditional code, the most dangerous vulnerabilities<\/strong>, and the necessary security<\/strong> measures to mitigate risks.<\/p>\n\n\n\n

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Numbers and Economic Impact of Smart Contract<\/strong> Vulnerabilities<\/strong><\/h2>\n\n\n\n

According to the specialized site DefiLlama<\/a>, the total value locked in decentralized finance protocols is consistently above $40 billion, a value that is relatively low compared to the peaks of over $160 billion reached before the catastrophic Terra\/Luna events and the FTX exchange crash. At the same time, we have witnessed a series of attacks on smart contracts<\/strong> that have led to the loss of millions of dollars. According to DefiLlama, the cumulative total of such losses amounts to over $6 billion. For example, in July 2023, an attack on Multichain compromised $126 million due to a compromised private key.<\/p>\n\n\n\n

The month of July 2023, at the time of writing this article, has been particularly prolific. Here’s a list of hacks from just the first 10 days of the month:<\/p>\n\n\n\n