SolidProof, a blockchain auditor, has entered into a strategic partnership with Unicrypt to ensure that DeFi projects get off to a successful start and develop their full capabilities. The Blockchain Auditor was launched in 2021 and has been at the forefront of securing blockchain projects in DeFi.
The Security Audit Firm is a Germany-based project that specializes in auditing smart contracts to find weaknesses in a blockchain project using manual and automated tests, which helps build investor confidence.
Decentralized financial services have won the trust of several investors around the world as the data shows a significant increase in the total value of locked assets. DeFi can host various platforms that offer products ranging from lending to exchanges to insurance by eliminating control from governments and other third parties.
The DeFi market has faced numerous challenges, mainly with fraud cases. The industry has introduced new solutions to protect investors and users like Know Your Customers (KYC) and accounting firms to keep things on track.
KYC and audits build confidence in DeFi by proving that a project is real; Hence, investors have deep confidence in the DeFi space.
Multiple platforms independently provide auditing and KYC processes, but SolidProof leverages both of these features to build trustworthy blockchain-based DeFi projects. The network determines a user’s identity and verifies that their funding sources are legitimate KYC services. The data is protected against unauthorized access in accordance with the GDPR data protection regulation
Interested platforms first request free audits and send their codes to the SolidProof network in order to conduct a successful audit. After a thorough examination, the customer will then receive a personalized offer.
An auditing report is then created to identify potential vulnerabilities in the code through manual and automatic testing. If the code contains bugs, the SolidProof team works with the project team to fix the vulnerabilities. SolidProof issues audit certificates after the process is complete.
One of the most famous DeFi attacks over the past year was the Flash loan attack on Yearn Finance (YFI), which stripped $ 11 million from the log. The decentralized financial protocol bZx went through three hacks in 2020, in which it cost 8 million.
Despite all of this, DeFi lending is still gaining popularity. Many investors seeking substantial returns are choosing to invest in the capital-hungry digital asset markets rather than the underperforming conventional markets. The continued demand for DeFi loans and credits has resulted in the industry improving its security standards.