Cream Finance launches $1.5M bug bounty to improve DeFi security
DeFi protocol Cream Finance is backing another significant effort to improve the security of decentralized finance.
On Tuesday, Cream Finance announced a new security campaign in partnership with DeFi platforms (Immunefi, Armor and DeFiSafety) to level up the security of its protocol and the wider DeFi ecosystem.
Cream Finance is launching a $1.5 million bug bounty program as part of this campaign, with blockchain bounty platform Immunefi to scale Cream’s protocol, API and website security.
The new bug bounty will look after Cream Finance’s smart contracts and to prevent the possible attacks direct on the funds belonging to the users, assets and data breach vulnerabilities.
Along with the bug bounty, Cream Finance is going to collaborate with DeFi smart cover aggregator Armor to provide users the ability to insure their funds against loss.
Cream Finance co-founder and project lead Leo Cheng stated, “Security is the key to maturing the decentralized finance ecosystem and bringing emerging financial technology to more users across the globe. We are delivering increased project transparency through DeFiSafety, preventing hacks with Immunefi, and providing a clear path for users to buy insurance coverage with Armor.fi.”
Cheng described that it’s not possible to avoid vulnerabilities in new technologies, but minimizing the risk is important:
“There are risks, eggs will be and have been broken. We’re determined more than ever to seek out innovations on both capital efficiency and safety measures. As with all new technologies, there will be more vulnerabilities along the way. The key is to minimize the impacts that these bumps on the road will bring while maximizing the benefits.”
The DeFi space was a major target for cryptocurrency hacks last year, as 50% of total losses occurred through thefts and hacks in the second half of 2020. Because of its decentralized nature and unregulated status, the DeFi ecosystem is attracting hackers more than centralized crypto exchanges, with non-DeFi crypto crimes dropping nearly 60% in 2020.