by Samuel Mbaki | Jun 12, 2023 | Blockchain
Key Points
- Sturdy Finance, a popular DeFi lending protocol, has been compromised by crypto attackers.
- The attackers made away with around $800K
Crypto hackers strike again; Sturdy Finance affected
Sturdy Finance, a well-known Decentralized Finance lending protocol, has fallen prey to hackers that managed to drain $800K. The platform has responded by saying that it has paused all markets and no further funds were at risk.
The attackers managed to drain 442 Ethereum, worth around $800K at the time of writing, after discovering a security loophole in its systems and exploiting it. They took advantage of the vulnerability that allowed them to manipulate a faulty price Oracle hence draining funds from the protocol.
The event was first noticed by onchain security firm PeckShield alert that went ahead to alert Sturdy Finance. Peckshield noticed anomalies within the transactions being made in the platform as they knew that Sturdy Finance had to be compromised as the transactions showed price manipulation signs.
About an hour later, Sturdy Finance said that they had been aware of the vulnerability and were working on it first by pausing all markets to hinder the continued outflow of further resources to the attacker’s loot.
Despite the efforts, the attacker had already transferred the monies to the Tornado Cash crypto mixer, making it harder to continue tracking it. This attack against Sturdy Finance comes when the crypto space sees increased cyber attacks. Recently, BitBoy, a popular crypto influencer, had his Twitter account hacked to promote scam projects.
Crypto detective Zach XBT says that scammers have made away with almost a million dollars by taking control of social media accounts belonging to popular individuals like Pudgy Penguins, Peter Schiff, Steve Aoki, and many others. As such, crypto investors should be more careful when dealing with the industry to protect themselves from such events.
Keep watching Fintech Express for updates on crypto and other fintech-related stories and developments.
by Samuel Mbaki | Jun 8, 2023 | Blockchain
Key Points
- Polygon Labs President has testified to the United States House of Representatives Energy and Commerce Committee’s Subcommittee on Innovation, Data, and Commerce on blockchain technology and how its infrastructure could impact the U.S.
- The committee has been listening to regulators and crypto executives testify regarding the potential of the crypto and blockchain industry regarding a bill presented for crypto regulation.
U.S. House Committee records Polygon Labs President remarks on the crypto industry
Polygon Labs President Ryan Wyatt gave his testimony on the crypto industry to the committee on June 7. The meeting was held regarding a crypto regulation bill that has been presented and seeks to harmonize the efforts toward crypto regulation in the country. The Polygon Labs President is one of several crypto executives who are discussing the non-finance-related impacts of blockchain technology with the committee.
The testimonials session comes at a time when the U.S. SEC is going after crypto exchanges and entities hard without the existence of a binding crypto regulatory framework. The regulator has been in the spotlight after charging Binance.US on June 5 and Coinbase the next day.
Coinbase alleges that it had cleared with the SEC before it began operations and tried to register some of its products later on, only for the regulator to severely stonewall its efforts. The regulator is now suing them for not ‘registering’ their securities with them.
However, such happenings may end sooner than later with the new bill in Congress. In his testimony, Wyatt discussed the potential of blockchain technology and its value to users and revamping the internet infrastructure in the United States. He addressed the problem that blockchain technology solves: value extraction on the internet.
Wyatt said that the current Web 2 internet iteration, where companies extract value from the users, will be best left behind as Web 3 allows users to enjoy their value and own their data. He explained how using cryptography and decentralization could solve most internet users’ issues.
He touched on the current regulatory turmoils asking the U.S. lawmakers to do more as the innovation may slip out of their hands. In his words, Waytt said:
“When regulation does not meet novel technology where it is, the U.S. loses its competitive edge over other countries.”
He topped off his argument by explaining how building blockchain ecosystems in the United States of America would benefit economic growth and inclusion. He explained that the transparency that comes with blockchains would streamline productivity and supply chain management, making every dollar count for its value.
Keep watching Fintech Express for updates on crypto regulation and other FinTech-related developments.
by Samuel Mbaki | Jun 5, 2023 | Learn, Blockchain
- A blockchain node is a device that participates in a blockchain network by running the network’s software which helps it to validate transactions.
- Blockchain nodes usually communicate with each other to verify transactions.
- The more nodes a network has, the more it is decentralized.
What are blockchain nodes?
The question of what is a node in blockchain is best answered by visualizing a blockchain network. To be a network, it needs several intercommunicating computers/ devices that can write, upload and verify data that goes to the software behind the network. For instance, if you want to run a node for Bitcoin (CRYPTO:BTC), you can download the Bitcoin Core software on a computer and run it without discrimination.
As such, a blockchain node refers to a device or computer running a blockchain network software and communicating with others to verify data uploaded in the blockchain. Running a blockchain network’s software on different computers increases its security and enhances its decentralization.
For most blockchain networks, anyone can run a node; however, some networks are choosy and only allows select nodes to run their software and participate.
How does a blockchain node work?
The main roles of a blockchain node are broadcasting and validating transactions. Once a user submits a transaction, it’s received by a node that then broadcasts it to all other network nodes.
Once the transaction is read by all nodes and verified that the user has enough funds to satisfy it, they authorize the user to complete the transaction. Since all nodes verify a transaction in a blockchain, a transaction can only be cancelled or rejected if 51% of the available nodes confirm it to be wrong.
As such, the 51% attack can be made, but it’s not easy in a decentralized network. A decentralized network is one where different nodes are available and are not led by a single user or a block of users that can concur to Sencor select transactions. That means the higher the number of nodes, the higher the security of a blockchain against the 51% attack.
Once a node validates new transactions, it is grouped into blocks that are then added to the blockchain following the set rules of the network. After that, no node in the network is allowed to change the contents of any block, making the data recorded in the network immutable.
by Samuel Mbaki | Jun 1, 2023 | Blockchain
Key Points
- Rocket Pool announces that it’s deploying on zkSync Era
- Users to stake ETH on zkSync Era by holding rETH in their wallets
- $rETH will continue to accrue staking rewards automatically, similar to what happens on Mainnet and other Layer 2’s
Rocket Pool is coming to zkSync Era
On June 1, 2023, ETH staking services provider Rocket Pool announced that it was deploying on zkSync Era. This development will allow users to start staking their ETH on Era by holding rETH in their wallets. Additionally, like on ETH mainnet and other L2s, $rETH will automatically accrue staking rewards.
Rocket Pool is yet another integration coming to the fast-growing zkSync Era’s zkEVM DeFi ecosystem that has been taking the internet and crypto industry by storm since its launch two months ago.
Rocket Pool will benefit Liquid stakers with Era’s faster speeds & lower transaction costs, secured by zkSync’s zero-knowledge proofs upon capital deployment with them. The staking provider says this development is yet another step in its mission to lower barriers to entry & ensure anyone can participate in Ethereum’s proof-of-stake system and benefit from it fully.
In a press release, Rocket Pool said:
“As Ethereum’s most decentralized liquid staking protocol, we’re also researching how zero-knowledge proofs can be used in other parts of the protocol to provide decentralized security.”
Since its launch (March 2023), zkSync Era has seen a tremendous spike in its network activity, recording the highest levels ever reached by any Ethereum scaling solution in a short period. As recently highlighted by Messari, the adoption of zkSync Era has also rapidly grown in terms of Total Value Locked (TVL) and transaction volume.
These developments foreshadow the growing interest and faith in innovation, which may see even more projects adopting it. Keep watching Fintech Express for updates on these developments as soon as they happen.
by Samuel Mbaki | May 30, 2023 | Blockchain
Introduction
Bitcoin Ordinals NFTs are set to get bridgeable with the Ethereum blockchain as a new token standard is launched to facilitate inter-chain communication. The BRC-721E token standard launched by the Ordinals market and Miladys NFT collection allows users to migrate their ERC-721 NFTs to Ordinals.
Bitcoin and Ethereum finally become co-joined for the NFT community
The NFT community will have even more options after the Ordinals Market and Milady’s NFT collection pull forces together to build a token standard to support migrations of NFTs from the Ethereum network to Bitcoin network.
The BRC-721E standard enables the conversion of immutable, verifiable ERC-721 NFTs to Ordinals inscriptions on the Bitcoin network. Initially, the metadata of these images won’t be stored on-chain. However, users can store the assets in lower-quality preview images and include a reference to the Ethereum burn in raw image data.
How to migrate your ERC-721 NFTs to Ordinals
The migration process of the NFTs starts by burying ERC-721 NFTs via an ETH call function. This burning process is irreversible and acts as an on-chain inscription method. To claim the Ethereum burn on Bitcoin, a user must inscribe valid BRC-721E data, after which the bridged NFT will appear on a custom Ordinals market collection page with its complete metadata.
The indexers that were responsible for checking the burned NFT data inscriptions, ensure that the new Ordinals token has only one valid inscription and that the Genesis address matches the burn transaction call data to prevent double entries.
This news comes when the craze around Bitcoin NFTs is still alive. These inscriptions have spiked a debate about whether they affect Satoshi’s original purpose of the network or not. However, the Bitcoin inscriptions have appeared to receive massive support from maximalists like Michael Saylor, who believe that they may be a chance to allow innovation to continue on the network and increase its use cases.
Keep watching Fintech Express for updates on this and other Fintech-related news.
by Antonio Madeira | May 24, 2023 | Blockchain
LG Electronics, a leading technology company, has recently made a significant move into the world of non-fungible tokens (NFTs) by filing a patent for its Smart TV.
LG’s innovative NFT trading Technology
LG Electronics filed a patent application with the aim of integrating blockchain technology into its Smart TVs, enabling users to engage in NFT trading. This groundbreaking advancement has the potential to transform the way individuals interact with digital assets and broaden the accessibility of NFT trading. LG’s commitment to embracing this emerging technology is further emphasized by the recent publication of the patent application in the World Intellectual Property Organization’s global database.
The patent filed by LG provides an overview of the technological framework underpinning their Smart TVs, which facilitates seamless transactions by establishing connections with cryptocurrency wallets and NFT market servers. Once connected to an NFT market server, the Smart TV displays QR codes on the screen, enabling users to finalize transactions conveniently using their cryptocurrency wallets. By integrating blockchain technology into their Smart TVs, LG aims to enhance the convenience and accessibility of NFT trading, appealing to a wider range of users.
The LG Art Lab Marketplace
LG’s venture into the world of NFT trading extends beyond a single initiative. In September 2021, the company introduced the LG Art Lab Marketplace, an innovative platform operating on the Hedera network. This marketplace revolutionizes the buying and selling of high-quality digital artworks by enabling users to directly engage with it from their Smart TV home screens.
Moreover, the LG Art Lab Marketplace presents “LG Art Lab Drops,” which showcase artist profiles and provide exclusive previews of forthcoming works. Although it remains uncertain whether the Smart TV will support additional wallet apps beyond LG’s own Wallypto, which is also utilized on the Art Lab Marketplace, this NFT platform underscores LG’s dedication to embracing the realms of digital art and blockchain technology.
LG’s dedication to Web3 solutions
LG Electronics has been proactive in integrating Web3 solutions into its range of devices. In January 2022, the company established strategic partnerships with technology platforms Oorbit and Pixelynx to offer its Smart TV users an immersive metaverse experience. Through this collaboration, LG customers gain the ability to delve into virtual worlds and even participate in virtual concerts, all from the comfort of their own living rooms using their Smart TVs.
Even before filing the NFT patent, LG had introduced the LG Art Lab Marketplace, which operates on the Hedera network. These initiatives exemplify LG’s unwavering commitment to exploring and implementing state-of-the-art technologies, pushing boundaries in the industry.
Potential expansion into cryptocurrency and blockchain trading
Aside from its endeavors in NFT trading and the metaverse, LG Electronics is reportedly contemplating the possibility of entering the crypto exchange market. While a definitive resolution has yet to be reached, a spokesperson for LG has affirmed the company’s intentions to broaden its scope into these domains. Notably, LG’s competitor, Samsung, has also made strides in the NFT and metaverse arenas via its venture capital arm, Samsung Next. Samsung has integrated an NFT marketplace into its lineup of smart TV products, showcasing cutting-edge technologies like Micro LED, The Frame, and QLED.
LG’s NFT and Web3 impact
LG Electronics recent patent application, focusing on NFT trading functionality integrated into its Smart TVs, showcases the company’s dedication to embracing blockchain technology and providing novel avenues for users to engage with digital assets. By seamlessly incorporating cryptocurrency wallets and NFT market servers into their Smart TVs, LG aims to streamline the NFT trading process and enhance accessibility for a wider user base.
Through its introduction of the LG Art Lab Marketplace and strategic collaborations with Web3 platforms, LG is firmly establishing itself as a prominent participant in the rapidly evolving realms of NFTs and the metaverse. These initiatives demonstrate LG’s proactive approach to pioneering advancements in these emerging fields. As LG continues to explore the potential of crypto and blockchain-based solutions, the technology landscape is poised for remarkable developments that have the potential to redefine digital interactions in the future.
