Mango Markets Will Alter Multi-Sig Feature to Mitigate Security Threats After $114M Exploit
The decentralized exchange will upgrade its security in a new version of its platform.
Solana blockchain-based decentralized exchange Mango Markets has announced two new features ahead of its version 4 rollout, with focus on mitigating immediate security threats.
Mango has been offline since it suffered an exploit in October that resulted in $114 million being siphoned out of the exchange after its pricing oracles were manipulated.
In an attempt to avoid another attack, Mango will impose new limits on the multi-sig wallet, which will allow the developers to respond to "unforeseen market dynamics" and any vulnerabilities in the program code.
"All other changes to the program need to be approved by all holders of the DAO," the exchange said in a tweet, using the acronym for a decentralized autonomous organization.
In the event of unforeseen market conditions, Mango's security council can put the protocol into "post-only mode" to limit deposits, purchases, lending and position increases. The DAO can then vote on whether to halt trades, force settlement or update risk parameters.
The exchange, which processed over $28 billion in transactions from its inception to when it was halted, is expected to put its v4 product into beta mode over the coming months, although a definitive date isn't set.
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.
Learn more about Consensus 2024, CoinDesk’s longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.