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Review of the GALA incident: a $250 million Houbi trust crisis induced by $400,000

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This is a security crisis caused by a non-smart contract vulnerability, but it is more vigilant than any code vulnerability.

Original title: "Revisiting GALA Disturbance: A $250 Million Huobi Trust Crisis Induced by $400,000"

Original author: Haotian

The beginning of the story is that pNetwork is trying to restore the pool liquidity of 400,000 US dollars, and the end of the story is that Huobi is in a crisis of trust of at least 250 million US dollars; pNetwork and Huobi Torn apart, many people still haven't figured out the logic behind the GALA turmoil. If you don't blow it up, you can't black it out. Let's summarize the Thread system below:

Cause, there was a problem with the cross-chain bridge of the pNetwork project party. In order to restore the liquidity of 400,000 US dollars, an additional 55.6 billion pGALA was issued to implement the so-called "white hat attack". ;

As a result, the amount of GALA was recharged into Houbi for sale. Followed the trend to buy the bottom but was forced to replace it with the worthless pGALA.

The pNetwork project party lacks common sense of defi security, and injects excess liquidity without completely eliminating potential hazards Out of ecology, too hasty and irresponsible.

Afterwards, they did not explain mint's motives and the possibility of potential insider operations, but mediated between Houbi and GALA to shirk responsibility and dump It is not an exaggeration to say that it is the instigator;

Facing a crisis, users have not waited for the big picture of justin sun , but was completely surrounded by a series of coquettish operations:

1) Do not recognize the inaction of the safety emergency response and risk control system;

2) The deposit and withdrawal has not been suspended for a long time. During this period, there are endless rumors of man-made disasters inside the "Youtan"; assets;

4) Finally, the spearhead was aimed at the pNetwork project party, and the two sides fought.

justin sun, who has always been good at marketing, never expected that he would overturn in the "public relations". The wind has changed. The entire crisis process was handled in a chaotic, unorganized, and substandard manner, which has negatively impacted the image of the "Big Three" in everyone's minds;

However, the centralized trading platform is The right to speak in the Crypto world has always been strong.

The original sin of centralization may be the key to the uprising, but it can only be left to time.

What about arbitrage users? First followed suit to arbitrage, and then swarmed to defend rights, lacked safety and basic industry understanding of the high risks of Crypto Dark Forest, and always underestimated the risk of participation; In the financial world of zero-sum game, there is no such thing as getting rich but not losing money.

Always use the weak cultural attribute of "herd effect" to cry out to this Crypto world where there is no supervision and the savior only has himself, it is really powerless!

Have you noticed that a security company that usually jumps out for science popularization, early warning, and tracking when there is trouble, but in this GALA incident The collective was absent.

The reason is simple: security audits and services can check all code defects, but it is difficult to fight against the potential "man-made disaster" crisis created by industry ecological participants eager for quick success.

This is a security crisis caused by a non-smart contract vulnerability, but it is more vigilant than any code vulnerability.

However, now that Houbi is under verbal criticism, how much should be the potential loss of trust caused by the crisis?

Everyone has the answer, maybe trivial, after all, the memory of leek is only a few seconds, maybe it will be recorded in history, but it will definitely arouse the Crypto in your heart original intention.

As a Crypto spiritual evangelist and a blockchain security practitioner, I personally do not hold any GALA, nor am I a Houbi user. Onlookers participated in the whole process of the event, and dig deep into the data on the chain. In a professional and responsible position and an objective attitude, I will express some observations and opinions here. Colleagues who agree with it will help forward it. If you don’t like it, don’t post it; it’s just for crypto to promote positive energy.