Protocon CEO Jeon Myeong-san presented at Block Festa 2022 Thursday on Technology to Prevent Cross-Bridge Hacking at the Mainnet Level.

On Dec.1, he said the damage from blockchain hacking this year is the highest ever, with more than $3 billion, because DeFi open source code can be exposed to cyber criminals, making it very vulnerable to hacking.

Attacks targeting digital assets, such as cryptocurrencies, often attack related external services rather than the blockchain—more than $2 billion in hacking damage on cross-chain bridges. With $2 billion, you can buy 100,000 Hyundai's New Grandeur sedans.

A cross-chain bridge is a system that can exchange information and value between blockchains, and it is an infrastructure that supports the transfer of tokens between different blockchains. Cross-chain bridge attacks typically include smart contract code vulnerabilities, multi-signature compromises, or backend attacks. Cross-chain bridges improve blockchain performance and network congestion.

The problem arises when bundling coins to wrap coins across cross-chain bridges. Locked coins are directly subject to hacking, and Cross-chain bridges are one of the most lucrative yet weak protocols in DeFi.

It is necessary to strengthen the code security of smart contracts, audit, and monitor regularly, and improve decentralization function. 

Jeon said, "Protocon adopted a technology that secures the possibility of data verification by enabling transaction information verification on an external network through fact hash."

He added Protocon has a mission to build a transparent and fair protocol economy for all participants through decentralization.

Block Festa is an event the Block Media hosted. The Block Media is the first news media specializing in blockchain technology and the digital asset market in Korea. Since 2018, it has been held annually except for the corona pandemic period.