Since the beginning of the sector, blockchains used to run as parallel worlds. They would grow their own DeFi, NFTs, and metaverse, among other protocols. The priority for each was to develop a robust community around a solid ecosystem where their applications have many utilities.
However, as time went on, it became increasingly necessary to find a way to bring them together to cover their deficiencies. For example, the most common bridge is the one that connects Ethereum to PoS blockchains. But it’s not all positive because bridges brought security vulnerabilities to the sector. So in this article, you will discover that not all bridges are unsafe.
How Hackers are Taking Advantage of Current Bridges Security Issues?
Imagine you want to bridge bitcoin to another chain like Ethereum. Well, what the bridge does is mint a parallel version of the token from another chain. In this case, is wrapped bitcoin (WBTC). However, bridges need a crypto reserve to backup those wrapped versions. And that’s the most vulnerable link of it.
One of the latest hacking examples happened with Ronin on March 29th. More than 173,000 ETH and 25.5 million USDC were hacked from the Ronin-Katana DEX bridge. To solve that, Ronin is working on a security upgrade and several audits, which may take some time. You can see more hacking cases here.
There has been a security breach on the Ronin Network.https://t.co/ktAp9w5qpP
— Ronin (@Ronin_Network) March 29, 2022
According to Bloomberg, bridge hacks reached over $1billion in the last 12 months. One of the most common strategies of hackers was to access the private encryption keys used for verifying transactions.
This is because hackers identified that bridges weren’t rigorous when they validate transactions. Therefore, many bridge initiatives are putting a lot of effort into improving their security. They are investing in security audits and making bridges more secure. However, there is a bridge that was created to avoid this kind of situation. And that bridge is Wanchain.
Wanchain, A Bridge That Securely Links Many Blockchains Together
Wanchain is an open-source bridge that connects 13 networks with more than 9.62 million transactions and $436 million in volume. Wanchain’s bridges are permissionless, decentralized, and non-custodial where anyone can deploy a node. In other words, assets go directly from the source to the destination chain.
The secret behind Wanchain’s bridge is that its nodes use advanced technologies:
- Multiparty Computation
- and Shamir’s Secret Sharing Cryptography.
Wanchain 5.0 provides:
- cross-chain functionality
- locking cross-chain assets
- and verifying transaction info.
In this framework, a community campaign establishes nodes through SecRand, a randomness algorithm that provides security of high quality.
#Wanchain is the only decentralised #crosschain bridge to connect @Polkadot to #blockchain networks like @ethereum, @MoonriverNW and @avalancheavax.
Vote for Dr. Weijia Zhang's (@MPhysics3) talk in NYC at #PolkadotDecoded!
No login needed!
🗳️ Vote: https://t.co/9eNPYwFdhu pic.twitter.com/QuO2NtNbmJ
— Wanchain (@wanchain_org) April 7, 2022
On the other hand, Li Ni, Wanchain VP of Business Development and Operations, said: “Precisely none of the major crosschain bridge hacks have been due to the failure of crosschain technology itself. Rather, what we usually witness is that these so-called decentralized crosschain bridges misrepresent their technology to end-users. It’s common to discover that these bridges rely on centralized solutions that create single points of failure”.
Also, Ni said: “This is a case of lazy, underskilled developers offloading all the risk to end-users. What the industry needs, more than ever, are secure, overcollateralized, crosschain bridges built by experts who do not compromise decentralization and security to chase short-term profits.”
More About Wanchain
Wanchain is a 100% EVM compatible platform, where developers can build solidity-based dApps in a very easy and secure way. This is because of the latest Wanchain update, Jupiter, which makes it fully compatible with Ethereum’s blockchain, giving access to very popular Ethereum tools like MetaMask.
On the other hand, NFTs are also bridges that use a lock-mint-burn-unlock mechanism. This means that NFTs are locked on the source chain before it’s minted on the destination network.
Moreover, Wanchain has one of the cheapest fees in the ecosystem: $0.0000114 in WAN and $0.00019 in EWT. Finally, the Wanchain Desktop wallet had its latest version (1.5.6) which fixed bugs and made security updates.
💻 Software Update 💻
Be sure to update your #Wanchain Desktop Wallet to Version 1.5.6!
Release notes:
💿 Fixed miscellaneous bugs
💿 Enable/Disable private transaction checks (disabling will speed up syncing)Download: https://t.co/NWZnneQBvR pic.twitter.com/7s6eOKTeWx
— Wanchain (@wanchain_org) March 31, 2022
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Disclaimer
The information discussed by Altcoin Buzz is not financial advice. This is for educational, entertainment, and informational purposes only. Any information or strategies are thoughts and opinions relevant to the accepted levels of risk tolerance of the writer/reviewers and their risk tolerance may be different than yours. We are not responsible for any losses that you may incur as a result of any investments directly or indirectly related to the information provided. Bitcoin and other cryptocurrencies are high-risk investments so please do your due diligence. This article has been sponsored by Wanchain. Copyright Altcoin Buzz Pte Ltd.
