Spring clean Binance

Binance, with the help of security firm Quantstamp, has checked their system for Erc-20 token errors. Result: Everything’s fine so far.

Unlike the Bitcoin blockchain, the Ethereum platform with Ether provides more than a pure cryptocurrency. Rather, it is a platform for distributed applications (dApps) that consist of smart contracts. This ability to run automated contracts and use them for multiple applications can also provide loopholes for errors.

So recently appeared bugs with the name batchOverflow and proxyOverflow. These perform an attack that overloads programs – feeding more information than the system can handle. In the application, the distribution of tokens can be manipulated. This represents a danger, especially for crypto exchanges. As a result of the attacks, additional tokens of an Ethereum-based blockchain could be distributed within the exchange, which actually do not exist.

First of all, safe with Quantstamp

To prevent such attacks, or at least to ensure the status quo, Binance has now checked their tokens. With the help of the company Quantstamp, they checked all ERC20 tokens. Quantstamp performs security audits – checking the security of tokens or smart contracts. Accordingly, they first looked for the bugs batchOverflow and proxyOverflow. The review of the crypto-market was reportedly successful – and the tokens safe. This makes Binance seem to be the first stock exchange that has a third party to catch up with for review – setting an important example. The verification of the tokens not only provides security for the stock market. Even users can take that as an indicator: It can now be assumed that all stored on Binance ERC-20 tokens before the bugs are safe.

Finally, the systemic security of decentralized cryptocurrencies does not always find its equivalent in centralized exchanges. It was not until March that Binance had a phishing attack that illustrated this problem. Ultimately, Binance’s internal security system responded and prevented worse. What you have to pay attention to Binance: You are striving for internal security.

image by shutterstock

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