1/ DeFi exploits are slowing but the $ size has been increasing. $ALPHA lost $38m last week - what does that imply ? Does losing -$285 million matter?

We dive into the impact of exploits on Price & TVL 👇🏻👇🏻
2/ We list all the exploits vs TVL and price below.

Since the DeFi summer, protocols’ expected loss to hacks or failures = 0.1%. The Exploit Amount / TVL is much higher = 9%.

However, protocols are punished, losing -40% (average) of TVL in 24 hours.

3/ The most likely attack vector is a combination of an oracle attack with a flash loan. @chainlink has become the de-facto choice for projects looking to outsource oracles.

$LINK has been a beneficiary though also saw a node operator spam attack in Aug-2020
4/ @AaveAave is the go-to for flash loans. Attacks would have been possible anyway without flash loans (though more expensive).

There have been calls to disable flash loans. However, you can’t un-invent or ban a highly-demanded product in decentralized communities.
5/ Morals: a third of attacker have even returns all or a portion of funds. 👍

However, praying for this isn't a good strategy. What is?
1. Bug bounties
2. Governance power for contributors
3. White-hat hackers and 3rd party audits
4. Insurance
6/ Past attacks serve as bounty programs that reduce the risk DeFi will ever get “too big to fail.”

Each attack has been met with an equal reaction to build protocols with security first in mind.


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More from @asiahodl

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Bad day for Bitcoiners
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One $BSV investor snuck in
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1/ Memes only get you so far. Tokens eventually meet gravity and trade on valuations.

So how do you value DeFi Lending tokens?

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Protocols extract value by both attracting capital and putting it to use. Major pricing dislocations happen.
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FTX created innovative new products like basket trades, leveraged tokens, prediction markets, and tokenized stock trading.
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messari.io/article/valuin… Image
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All the answers to your questions in plain English --> messari.io/article/modern…
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Modern Monetary Theory (MMT) for those who wanna stay rich requires us to look at history & politics.

There has never been as much debt or low interest rates as we have today
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@SushiSwap started with a vampire attack and Ctrl+C Ctrl+V of @UniswapProtocol. It even survived a rugpull. But in the past months, it has reinvented itself with new leaders, innovation and a merger with @iearnfinance.

So what's the valuation of $SUSHI ?

Time for a thread👇🏻👇🏻👇🏻
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Under #Yearn 's ecosystem, it'll benefit from new network effects.

Want to get up to speed? Explanations (here) --> messari.io/article/valuin…
$SUSHI has put their past behind, with $2 - 2.5 billion in liquidity and weekly volume.

Sushi stands out as it has no venture capital backing, it’s community driven and innovates quickly. Can they stay ahead of competition?

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Asia is the most active #crypto market. We have a history of dictators, currency depreciation, capital controls -- all ripe for disruption.

Behold Messari's Asia Crypto Landscape: Everything you want to know about the major players

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Why do they need this? What's going on in the market?
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