Table of Contents
- The Operational Mechanism of the Cross-Chain Bridge
- The Factors Responsible for Cross-Chain Bridges' High Susceptibility to Attacks
- Potential Remedies for the Issue
In line with Chainalysis research, cross-chain bridge frameworks provide the highest vulnerabilities. This research claims that 13 various cross-chain bridge hacks amounted to the stealing of an estimated $2 billion by hackers. Over 68% of all assets lost in 2022 came through attacks on cross-chain bridges. Without a doubt, this is quite concerning and requires an immediate and long-lasting solution.
Cross-chain bridge security issues are now posing a danger to the entire industry. For people unfamiliar with the term, cross-chain bridges are protocols created to link two or more distinct blockchain systems. When funds are moved between chains, these bridges are crucial and always at the epicenter of the transaction.
The Operational Mechanism of the Cross-Chain Bridge
The cross-chain bridge protocol makes it simple for users to transfer their assets between blockchain networks. The Celer bridge, for instance, enables interoperability between different blockchain networks, including Astar Network, Ethereum, BNB Chain, Avalanche, Oasis, Polygon, Cardano, etc. This implies that a user can migrate his cryptocurrency assets, NFTs, etc., without any difficulty from one of these blockchains to another.
Blockchain networks usually operate in isolation and cannot interface or connect with each other before developing these cross-chain bridges. For example, you can't trade ETH on Solana or the opposite. Just like anyone can use a credit card for several providers, the cross-chain bridge contributes precisely this to the blockchain community.
The Factors Responsible for Cross-Chain Bridges' High Susceptibility to Attacks
Almost all cross-chain bridges involve the utilization of a centralized database for the crypto assets or money used to secure the exchanged assets on the recipient blockchain framework. The cross-chain bridge is quite appealing to cybercriminals because of its configuration. Whether the money is kept in a smart contract or with a central custodian, the storage location becomes a profitable target, irrespective of how they are kept.
Also, there has yet to be an agreement on a universally agreed and efficient bridge structure. Nearly every day, new innovative models are built and validated. These various new bridge models serve as the perfect novel attack vectors for cybercriminals. Also, the smart contract code may contain various loopholes that hackers can leverage. If the bridge's on-chain and off-chain components are out of sync, it can affect how smoothly it functions, and hackers can take advantage of these flaws.
Potential Remedies for the Issue
The main concern is ensuring experts with years of relevant experience create and oversee the audit of the bridge's smart contract. Today, reputable businesses like ShellBoxes provide top-notch blockchain development and security services. You can get in touch with ShellBoxes to have your bridge's source code thoroughly and optimally examined ,and have its potential vulnerabilities discovered and fixed to assure the safety of users and their funds and preserve the sanctity and image of your project.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.