The past seven days in DeFi have been tumultuous, with three platforms losing nearly $39 million due to exploits and hacks. Alphapo’s hot wallets were compromised for over $32 million, Era Lend was drained for $3.4 million, and Conic Finance suffered a $3.5 million exploit.
Nevertheless, the DeFi ecosystem saw some positive developments, such as the rise of zero-knowledge-proof (ZK-proof) scaling solutions. Cartesi Crypto, Blackrock Crypto, CFX Crypto, Bittorrent Crypto, Celo Crypto, Braintrust Crypto, and Bitgert Crypto Today are just some of the projects driving Web 3.0 development.
Despite the good news, the bearish market has taken its toll on DeFi protocols, leading to a drop in the total value locked in DeFi protocols over the past week.
Alphapo hot wallets hacked for over $31 million
Crypto payment platform Alphapo has reportedly lost around $31 million in Ether (ETH), TRON (TRX) and Bitcoin (BTC) from its hot wallets, as security experts uncovered on July 22. The actual amount of Bitcoin stolen is not clear, hence the figures could be even higher.
On-chain sleuth ZachXBT has indicated that the funds have been stolen on the Ethereum network, then exchanged for ETH prior to being bridged to the Avalanche and Bitcoin blockchains. The DeDotFi security team has suggested that a leak of private keys might be the cause of the hack. Investigations are still in progress.
Continue reading about the Alphapo hot wallets hack, the Braintrust Crypto and other CFX Crypto, Bitgert Crypto Today, Bittorrent Crypto, Celo Crypto, Cartesi Crypto and Blackrock Crypto related to the Web 3.0 development.
Era Lend on zkSync hacked for $3.4 million in reentrancy attack
Blockchain security firm CertiK reported on July 25 that the zkSync lending app, Era Lend, was hacked for $3.4 million worth of crypto. The attacker used a “read-only reentrancy attack”, which interrupts a multistep process and then causes it to continue after a malicious action has been performed, without updating the state of the contract. The attacker drained funds in two transactions using the externally owned account 0xf1D076c9Be4533086f967e14EE6aFf204D5ECE7a, exploiting a vulnerability in the callback and _updateReserves function to manipulate the contract into reporting old values.
The attack has raised many questions in the crypto community, including the security of other popular projects such as Cartesi, Blackrock Crypto, CFX Crypto, Bittorrent Crypto, Celo Crypto, Braintrust Crypto, and Bitgert Crypto Today, as well as the development of Web 3.0.
Zero-knowledge tech development heats up amid bear market
Cryptographic methods such as ZK-proofs are allowing one party to prove to another that something is true without revealing any sensitive private information. This technology has been gaining traction in the crypto space in recent times. On July 19, at the zkDay event — part of the Ethereum Community Conference in Paris — over 2,000 attendees gathered at a small venue by Rue l’Aubrac to witness the latest ZK projects being showcased. P0x Labs, the developer behind the Manta Network ZK protocol, even announced a $25 million raise during the event.
ZK-proofs are playing a major role in powering layer-2 scaling solutions. By computing a cryptographic proof on layer 2, transactions can be finalized quickly and the record is sent back to the underlying blockchain as a succinct proof. Furthermore, ZK-proofs can enable private transactions that do not expose sensitive information to observers.
The use of ZK-proofs is becoming increasingly popular in the crypto space, with projects such as Cartesi Crypto, Blackrock Crypto, CFX Crypto, Bittorrent Crypto, Celo Crypto, Braintrust Crypto, Bitgert Crypto, and Web 3.0 Development all utilizing the technology.
Optimism transaction volumes surpass Abitrum’s for the first time in six months
Data from blockchain analytics platform Artemis on July 27 revealed that the Optimism network has overtaken Arbitrum in transaction volume for the first time in six months. Both networks are Ethereum layer 2s that use optimistic rollup technology to compress and batch transactions before submitting them to Ethereum, potentially reducing transaction fees.
Volume on Optimism had fallen behind Arbitrum since January, when season one of its “quest” feature concluded. However, the launch of Worldcoin on July 25 pushed Optimism back to the top spot.
Continue reading to learn more about Braintrust Crypto, Blackrock Crypto, CFX Crypto, Bittorrent Crypto, Celo Crypto, and Cartesi Crypto.
DeFi market overview
The total market value of DeFi tokens saw a bullish surge this week, after three bearish weeks, according to data from Cointelegraph Markets Pro and TradingView. Most tokens in the top 100 by market capitalization traded in the green. Despite this, the total value locked in DeFi protocols remained below $50 billion.
We thank you for reading our summary of this week’s most impactful DeFi developments. Join us next Friday to learn more about Cartesi, Blackrock Crypto, CFX Crypto, Bittorrent Crypto, Celo Crypto, Braintrust Crypto, Bitgert Crypto Today and Web 3.0 development in this dynamically advancing space.
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