Crypto Custody Firm Fireblocks Now Offers DeFi Threat Detection for Institutions

Fireblocks, a company specializing in cryptocurrency custody, provides institutions delving into decentralized finance (DeFi) with innovative threat detection and smart contract assessment features. This empowers them to steer clear of malicious actors and potential attacks.

Fireblocks’ dApp Protection and Transaction Simulation tools, which have been undergoing beta testing since the end of last year with Galaxy and Flowdesk, can now be used to assess decentralized applications on more than 40 blockchains. This can be done using WalletConnect, Fireblocks’ browser extension, or MetaMask Institutional.

In recent times, there’s been growing excitement about Decentralized Finance (DeFi), often referred to as a magnet for hackers, due to the continuous rise in cryptocurrency values. Institutions are now delving deeper into DeFi applications such as swapping, lending, staking, and bridging through popular platforms like Uniswap, Aave, Curve, 1inch, and Jupiter. (Paraphrased) Lately, there’s been a significant uptick in the popularity of Decentralized Finance (DeFi), which some call a hotspot for hackers, as a result of escalating crypto asset values. Institutional investors have recently taken an increased interest in utilizing DeFi services such as swapping, lending, staking, and bridging via well-known platforms such as Uniswap, Aave, Curve, 1inch, and Jupiter.

many Fireblocks users have exclusive Web3 research teams at their disposal, while the majority must expand their business and may not have the means to employ both cybersecurity professionals and experts in DeFi and Web3, according to Fireblocks’ VP of security products, Shahar Madar.

The solution scans for potentially dangerous smart contracts, fraudulent websites disguised as dApps, and compromised applications. It achieves this by detecting malicious behaviors such as deceitful URLs, harmful JavaScript codes, and questionable registrars.

“Madar explained in an interview that we have designed the experience for a DeFi and Web3 trader. The process typically begins with scanning a code using your phone and connecting to a decentralized application. Along this path, we’ve implemented security measures and monitoring systems. For instance, we analyze transactions, examine counterparties, make sense of contracts, and provide transaction simulations, ultimately helping users understand the potential outcome.”