The security of crypto networksThe hacker attack on the Poly network - a platform for transferring cryptocurrencies - that became public on 11 August 2021 – has caused a media response that extends far beyond the boundaries of blockchain enthusiasts. The hacker has managed to transfer over 600 million US dollars in various cryptocurrencies to his own address. Thanks to the transparency provided by the blockchain, users from all over the world were able to follow the transactions and get in touch with the hacker via the blockchain. In a Q&A session with the hacker, he explained his motivation. He only wanted to point out the vulnerability in the network and prevent someone else, e.g. an employee of Poly Network, from recognising and exploiting the security gap. The hacker has since returned the money to the developers.

(see https://www.tagesschau.de/wirtschaft/krypto-raub-101.html)

Many media outlets are using the aforementioned incident as an opportunity to question the security of smart contracts. This ignores the fact that any code can be hacked. One example of this is a hacker attack on Facebook that took place in April 2021, in which around 530 million users' data was stolen (see https://www.spiegel.de/netzwelt/web/facebook-versucht-ein-riesiges-datenleak-kleinzureden-530-millionen-betroffene-a-47959c32-4a9f-4719-9050-d26ed154cb8f). Most providers have their codes audited by independent experts and introduce so-called bounty programmes in which hackers receive rewards for uncovering security vulnerabilities. This is because when IT experts analyse codes and uncover errors, this helps to make smart contracts more secure in the future. (Publication date 18/06/2021)