The Right Security Measures Make All The Difference: A Tale of Two Protocols

The impact of comprehensive, rigorous security measures in DeFi protocols is truly monumental. Let us elucidate this with the narratives of two hypothetical DeFi protocols: one fortified by Uno WatchDog (Protocol B), and the other by traditional smart contract audits (Protocol A). <h1>The Chronicle of Protocol A and Protocol B </h1> Imagine two DeFi protocols; both sprouting from the immense dedication and talent of their teams, and fueled by solid community support and capital investment  — Protocol A and Protocol B.  Protocol A’s Path : <ul> <li>Protocol A opts for a tier-1 audit firm’s smart contract audit.</li> <li>Despite the comprehensive initial audits, new vulnerabilities could creep in with future smart contract updates. If exploited, the situation can be severe and detrimental </li> <li>In the aftermath of a breach, Protocol A may resort to a black-hat bug bounty program  At its best, this could help recover around 90% of Protocol A’s stolen funds. The worst-case scenario could result in a total loss of the stolen funds </li> <li>Past experiences of giants like Euler Finance, Curve, and Balancer falling prey to such attacks indicate that it’s not “if” but “when” such an event will occur .</li> </ul> <a href="https://medium.com/@uno.reinsure/the-right-security-measures-make-all-the-difference-a-tale-of-two-protocols-b31b48a8df8e">Learn More</a>