Following the loss of almost $200 million in a security exploit on crypto protocol Nomad, security experts insisted that more education and security protocols are necessary for protecting web3 communities from hackers.
“The crypto ecosystem is currently in a nascent stage of adoption,” Nick Percoco, chief security officer at Kraken, said to . “Despite the surge of interest over recent years, there is an educational divide that still needs to be bridged for crypto adoption to be truly successful.”
Nomad, a crypto bridging protocol that allows users to trade tokens between a number of blockchains, lost approximately $190.7 million in crypto in a hack on Monday, leaving the protocol with about $15,000 total value locked (TVL, or total user funds in a DeFi protocol), according to data on decentralized finance tracking platform DefiLlama.
Like other cross-chain bridges, Nomad allows its users to transfer assets from one blockchain to another through wrapped tokens, Victor Young, founder and chief architect at interoperability network Analog, said to .
The motivation for malicious actors in the crypto bridge space is substantial because a minor vulnerability can yield millions of dollars, Percoco noted.
