Ethereum Community Propose ERC-7265 to Protect DeFi Protocols from Hacks

Ethereum Community Propose ERC-7265 to Protect DeFi Protocols from Hacks

A group of Ethereum community members has proposed a new standard to improve the security of decentralized finance (DeFi) protocols.

Dubbed ERC (Ethereum Request for Comments) 7265, the proposed standard would enable a "circuit breaker," allowing DeFi protocols to easily add a back-stop in their smart contracts that stops tokens before they leave the contracts in the event of a hack, according to one of the standard's builders.

"ERC 7265 allows teams to create a circuit breaker protecting their protocol, with highly customized rate limit parameters per asset," Meir Bank of Fluid Protocol. "When a hack happens, the attacker will no longer be able to drain an entire contract in seconds. The majority of funds can be recovered."

The proposed ERC 7265 standard comes amid rising DeFi hacks. Nearly $3 billion worth of funds have been stolen by attackers from DeFi protocols to date.

Given the ERC 7265 standard is a proposed standard, it remains to be seen whether the core Ethereum team accepts and implements it as the final standard. ERCs are proposed standards that define how specific features or functionalities should be implemented on the Ethereum network, while Ethereum Improvement Proposals or EIPs are submitted changes and improvements to the Ethereum protocol itself. ERCs and EIPs get finalized after they are passed by the broader Ethereum community and implemented by core developers.

TokenInsight's Tokenwiki: What is EIP

 

TokenInsight is dedicated to covering the most important and cutting-edge trends in the world of crypto. If you have information to share with us, please feel free to contact our email news@tokeninsight.com. Your trust will be well respected.

Source

Ethereum

In This Article

Related News
 Ethereum Next Upgrade "Pectra" Could Improve Wallet UX and Increase Staking Limit Ethereum Next Upgrade "Pectra" Could Improve Wallet UX and Increase Staking Limit
EigenLayer and EigenDA Launched on Ethereum Mainnet EigenLayer and EigenDA Launched on Ethereum Mainnet
ANZ Banking Group and Chainlink Tested Tokenised Asset Settlement on Avalanche and Ethereum ANZ Banking Group and Chainlink Tested Tokenised Asset Settlement on Avalanche and Ethereum
Vitalik Highlights Ethereum Staking Centralization Risk Vitalik Highlights Ethereum Staking Centralization Risk
Ethereum Core Devs Launched New Initiative Calling For Raising the Gas Limit Ethereum Core Devs Launched New Initiative Calling For Raising the Gas Limit
Latest News More More
17 Hours Ago DA Project Avail Confirmed Token Airdrop Plan
18 Hours Ago Tether to Launch New Businesses, Tether Data, Tether Finance, Tether Power, and Tether Edu
1 Day Ago Lido Finance Implemented Simple Distributed Validator Technology (DVT)
1 Day Ago Real Opportunity for Runes only Comes After the Initial Hype
1 Day Ago Worldcoin Announced "Human Centric" Blockchain World Chain
delate
Use TokenInsight App All Crypto Insights Are In Your Hands
Open