Blast Network Gains Over $400M TVL, Faces Security Concerns
Web3 protocol Blast network has gained over $400 million in total value locked (TVL) in the four days since it was launched, according to data from blockchain analytics platform DeBank. However, Polygon Labs developer relations engineer Jarrod Watts raised concerns about the network’s security and centralization.
Blast Responds to Criticism
The Blast team responded to the criticism indirectly, claiming that the network is as decentralized as other layer 2 solutions like Optimism, Arbitrum, and Polygon.
Claims Made by Watts
Watts claimed that Blast may be less secure or decentralized than users realize, stating that it is “just a 3/5 multisig” and that an attacker could potentially steal all deposited crypto if they gain control of three out of five team members’ keys. He also argued that Blast is not a layer 2 solution and lacks a withdrawal function.
Blast Team Counters the Claims
The Blast team defended their protocol, stating that security exists on a spectrum and that their use of upgradeable contracts is a highly effective means of safeguarding user funds. They compared their approach to other layer-2 solutions like Arbitrum and Optimism.
Concerns with Upgradeable Contracts
Blast is not the only protocol facing criticism for using upgradeable contracts. Other projects like Stargate and Ankr have also been scrutinized for similar reasons. The Blast team argues that while non-upgradeable contracts may seem more secure, they can still contain bugs that leave users vulnerable.
Hot Take: Evaluating Blast Network’s Security
The recent launch of Blast Network has garnered attention for its rapid growth in TVL. However, concerns have been raised regarding the protocol’s security and centralization. Developer Jarrod Watts highlighted potential vulnerabilities, including the use of a 3/5 multisig system that could allow an attacker to steal deposited funds. He also questioned Blast’s classification as a layer 2 solution and its lack of a withdrawal function. In response, the Blast team defended their approach, emphasizing the effectiveness of their upgradeable contract system and comparing it to other well-established layer-2 solutions. While concerns remain, it is important for users to carefully evaluate the risks before participating in the Blast Network ecosystem.
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