Kinto’s Closure: A Case Study of DeFi Security Risks

The Ethereum layer 2 project Kinto has announced its closure after a significant financial setback caused by a security breach in July. Hackers exploited a vulnerability in Kinto’s smart contract, leading to the minting of counterfeit tokens and the theft of nearly $1.55 million from user funds. This incident exposes vulnerabilities inherent in decentralized finance systems. 🤯