Bug bounty programs of blockchain firms double: EOS tops the list

Hackers have been on the rise in the crypto verse since 2013. Blockchain companies are in a frenzy to fix vulnerabilities on their platforms to make their networks more secure. To ward off potential hacker attacks, startups are launching bug bounty programs to discover loopholes on the blockchain. These bug bounty programs invite hackers to find vulnerabilities on the Blockchain for which they will receive a reward. Reportedly, 2018 accounted for cryptocurrency valued at $761 million lost to hacking and theft.

EOS heralds the list of most number of bug bounty programs, according to a HardFork report. EOS has spent around $417000 on rewards for bug bounty programs. EOS has increased its reward from $300 to $2100 in 2018. Coinbase is closely following EOS with stats suggesting over $281000 drained in bug hunting. Blokchain and Augur trails behind Coinbase with their bug bounty reward expenditure standing around $10000.

Lost funds on Blockchain are impossible to regain thanks to anonymity and ‘untraceable transaction’ features of a blockchain network. More startups have started spending on bug hunting to disclose possible vulnerabilities on their respective networks. This encourages responsible disclosure of potential threats in the network which will help put to rest the security worries of blockchain networks.

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In the interview with HardFork, Hackerone CEO, Marten Mickos said,” For cryptocurrency and more broadly blockchain technologies and companies to grow and prosper, on-going security vetting by independent hackers is a must. With a large community of hackers looking for security vulnerabilities, there is a real chance of finding and fixing the weaknesses in time.”

Bug bounty programs give an opportunity to hackers to find flaws in the network legally and get rewarded. It also has the added bonus of holding the company responsible for irregularities on their network. Bug bounty programs are a relief to investors as well as the company. This lessens the chances of a potential hacker attack and also enables the companies to identify threats in their own network increasing trust among crypto enthusiasts.

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