- It was named ERC 7265
- And allows you to limit the time / volume of assets in case of a possible leak
The developer of the DeFi project Fluid Protocol has announced a new standard, ERC 7265. It offers an automatic stop of a smart contract when the outflow of funds exceeds a set threshold.
The reason for the development was the recent incident with the Poly Network platform. The development team identified a key reason for exploits – lack of response time.
“Currently, most protocols are being completely updated by management, which means that, in theory, management is already able to mitigate a hack attempt by fixing the protocol.”
The developers have submitted ERC proposal 7265 on Github. They describe it as a future DeFi exploit mitigation process.
The new format acts as a “circuit breaker” causing outbound transactions across the entire protocol to stop if a threshold for a pre-set metric is exceeded. This will help fight exploits when large volumes of tokens are instantly minted and exited through bridges.
“ERC 7265 allows teams to create a circuit breaker that protects their protocol, with configurable rate limit settings for each asset. When a hack occurs, the attacker will no longer be able to drain the entire contract in seconds. Most of the funds can be returned”
One of the reasons for the development was the recent hack of the Poly Network platform for $10 million.