Original source text
Forta Network, the largest network of security intel in Web3, believes a new era of safety and adoption in the world of Web3 security will be initiated by AI-powered predictive modeling. And rightly so! Cybersecurity is the global need of the hour, which will only become more effective with cutting-edge artificial security backing it up.Cyber Threats are a Concern in Web3 Cyber hacks, breaches, and attacks have long troubled Web3 providers and participants, with last year’s statistics revealing the significant impact of these malicious interventions.
In 2023, Web3 hacks and scams resulted in a loss of US$1.83 billion for the ecosystem, with over 750 security breaches reported. Cross-chain bridges, in particular, were hard hit, with thefts amounting to US$788 million across 121 different security events.
This troubling trend did not cease as the calendar turned, with Orbit Bridge, a cross-chain protocol, falling victim to hackers and losing more than US$81.5 million in crypto this year.
Industry analysts predict that such hacks and attacks will persist as long as Web3 players neglect to pay adequate attention to cybersecurity. The coming year could see vulnerabilities such as price oracle manipulation, reward manipulation, stolen private keys, insufficient access control, faulty contract logic, poor input checking, and more.
However, amidst this atmosphere of apprehension, one could also identify silver linings and sources of bright light at the end of the tunnel. Between 2022 and 2023, the quantum of stolen funds in the crypto-web3 ecosystem dropped by 51%, from US$3.7 billion to US$1.8 billion.
This significant drop reflects the efficiency that providers like Forta have brought into the system by introducing best-in-class security mechanisms that embrace AI.
Forta has collaborated with innovative projects like OpenZeppelin, a solution to code, deploy, and operate Smart Contracts to monitor the Web3 world securely. Its FORT token-based crypto-economic incentive system has successfully involved a host of necessary stakeholders, including developers and security researchers.
Additionally, Forta has developed streamlined response systems like the Attack Detector and Scam Detector, which have been instrumental in potentially saving billions of dollars worth of hacks in the past couple of years. Such is its efficacy that if Euler Finance had implemented Forta’s Attack Detector, it could have detected and prevented the infamous US$197 million Euler exploit beforehand.
In terms of leveraging AI, ML, and Deep Learning techniques, Forta has innovatively applied deep learning to enhance threat detection. This is evident through its sentiment analysis bot, capable of deciphering on-chain text messages to alert users to imminent scams or attacks. Significantly, the bot employs a self-supervised deep learning model, where the text input goes through language model embedding and comes out as a learned concept output.
In one of its latest innovations, Forta has also come up with an AI-driven detection bot that can detect phishing scams with remarkable precision. The model harnesses its features to accurately predict an asset’s incoming and outgoing transaction count, block number, and value. Furthermore, it can predict the transaction activity of the addresses’ first-degree neighbors, shedding light on potential money laundering and mass scamming activities.
Accompanying this AI-powered detection bot is an alert system designed to issue a warning whenever a phishing scam is detected. The alert comes with metadata that includes model features and prediction values, in addition to feature generation and prediction response time.
The Way Ahead As cryptocurrencies gain more popularity and their adoption becomes more rampant, Forta believes that AI-powered Web3 cybersecurity solutions will become a must for the rapid evolution of scams. The efficiency of these solutions will be crucial in minimizing risk in a high-stakes economy.
The surge in adoption will inevitably lead to an increase in the volume of data circulating within the system. AI-powered solutions, with their complex algorithmic capabilities, will help make sense of this data and generate highly accurate, data-driven decisions, with AI-powered predictive monitoring ensuring round-the-clock safety.
In short, the synergistic collaboration of sophisticated technologies, like the blockchain and AI, would open up new dimensions in the way we perceive security. But to harness this potential, providers must make efficient use of them. We can see that facilitators like Forta are already prepared for it!
Disclaimer: This is a Press Release provided by a third party who is responsible for the content. Please conduct your own research before taking any action based on the content.
Oliver Dale
Editor-in-Chief of Blockonomi and founder of Kooc Media, A UK-Based Online Media Company. Believer in Open-Source Software, Blockchain Technology & a Free and Fair Internet for all. His writing has been quoted by Nasdaq, Dow Jones, Investopedia, The New Yorker, Forbes, Techcrunch & More. Contact [email protected]