OKEX: Cybersecurity Company has found a loophole in UDST deposit 17343
News
Roshni Vayyapuri
Jun 29, 2018 at 12:52 AM

The cybersecurity technology team of slow mist has detected a loophole in UDST deposit. After the OKEx exchange [digital asset exchange that provides financial services to global traders who use blockchain technology] became aware of the loophole, they immediately consulted Slow Mist to further investigate and analyze the issues. Slow mist team performed a series of examinations to find the issues. Slow Mist notified OKEx about the risk at once after their discovery.

Slow Mist is a cybersecurity technology company that concentrates on the blockchain. It is home to many top Chinese cybersecurity experts. The scope of their business includes security audits, defense deployments, and underground hacker tracking.

Medium reports that earlier in May, Slow Mist was involved in identifying smart contract vulnerability in the EduCoin project. They noted that users can be subject to hacking. Slow Mist has also disclosed that the BAIC TM (a decentralized blockchain platform that streamlines IoT/AI data communications, enable transaction settlement and orchestrate smart contracts) has the same loopholes as the EduCoin.

After the examination by the cyber technology team Slow Mist, the OKEx exchange stated, "We are relieved that OKEx is not exposed to the vulnerability. Please rest assured that your assets are safe and secure with us and are not affected by this issue."

The exchange acknowledged and thanked Snow Mist for notifying about the risk and assured that hey will provide safe and reliable services to every one of you with our best efforts. Thank you for your support.

See also: OKEx Welcomes Waves and Decred(DCR) To Its Platform

What is USDT?

USDT is a cryptocurrency asset issued on the Bitcoin blockchain via the Omni Layer Protocol. Each USDT unit is backed by a U.S Dollar held in the reserves of the Tether Limited and can be redeemed through the Tether Platform. USDT can be transferred, stored, spent, just like bitcoins or any other cryptocurrency. Customers can transact and store tethers with any Omni Layer enabled wallets like Ambisafe, Holy Transaction or Omni Wallet.

USDT and other Tether currencies were designed for enabling the transfer of national currencies, to provide users with a stable alternative to Bitcoin and to provide an alternative for exchange and wallet audits which are currently not dependable. USDT provides an alternative to Proof of Solvency methods by introducing a Proof of Reserves Process.

When a digital asset exchange is processing a USDT deposit, it may fail to verify if the validity of the transaction is "true". So, a user's account can be credited with USDT, even if the deposit failed, and the user will be able to trade with the tokens credited.

Image via Shutterstock

Join our Telegram group