For DeFi products to be safe(r) we need a combination of multiple audits from different auditors + insurance against smart contract bugs and economic (oracle) attacks.
@trailofbits is one of the best auditors and still missed a typo (!)https://twitter.com/HegicOptions/status/1253937104666742787 …
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Replying to @lalleclausen @trailofbits
Love you Lasse but strongly disagree with this take. 1. Auditors complement/improve teams practices, not ensure perfection. An audit report is not a blessing. 2. Time spent is not binary it's a scale. Hegic had a "small" audit. 3. So many follow up recommendations not followed
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Security needs to be a core focus and passion for teams writing financial applications. More audits are better, but if the team isn't focused on shipping secure code, audits can be counterproductive; marketing to non-expert users that boxes checked (but not taken seriously).
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Replying to @rleshner @trailofbits
Yes that's what's starting to happen. See audit stamp = (falsely) assume you can put money in without risk.
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Bad teams use audits as a stamp of approval. Good teams use audits to assess if their upstream processes are sufficient. Lessons learned from
@jessysaurusrex This is the way.2 replies 4 retweets 23 likes -
Replying to @zmanian @lalleclausen and
There are many examples in the world of auditing or certification entities that take part of the blame if something goes wrong. Security auditors should not let clients use their name if they can’t stand behind their audits.
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Code reviews are not endorsements. When you hire a security vendor, you’re not shifting responsibility to secure your own code to them. They’ll help you make good decisions, prioritize your work, and educate your staff, but it’s still up to you to build a secure product.
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Unlike financial audits. Why does Arthur Andersen not exist any more? Because they were held liable for their bad audits of Enron.
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ALERT A typo has been found in the code. Because of that, liquidity in expired options contracts can’t be unlocked for new options.