Let this sink in: According to Immunefi’s October 2024 report on Crypto Losses, there has been 1.4B in losses to hacks and rugpulls YTD.
The Web3 market is undeniably moving towards regulation and cooperation with governments and corporations. It's becoming obvious that the "wild west" era has to end if we want to see real mass adoption. This shift will happen with the convergence of large-scale Web2/offline companies and battle-tested, trusted blockchain infrastructure. But there's a crucial component we are somehow still missing: robust Web3 security and clear regulatory frameworks (on which we will focus on our next article).
Regulation in Web3 isn't possible without clear responsibility, our shared responsibility, which should lie squarely on the shoulders of user-facing projects and the infrastructure providers we rely on. The exact things we are building. Just as banks are responsible for protecting their customers against fraud and theft, crypto projects will be liable for the losses their users suffer. Those of us who prioritize user protection will gain a significant advantage. They'll earn the trust of users, regulators, and businesses alike, helping to break through the crypto bubble and connect blockchain technology with the real world. This is where true mass adoption lies.
The rise and need of User-Centric Security in DeFi
This shift towards user protection is gaining momentum. "Real-life" customers are prioritizing trust and security, recognizing that the allure of quick gains in DeFi can often mask significant risks. Projects that aim to survive and thrive in the long term must prioritize user protection from the outset. This means building robust Web3 security measures in-house or relying on infrastructure that offers comprehensive protection embedded within their platform.
However, as highlighted by Liu et al. (2024), many DeFi users themselves don't always prioritize security, often overlooking essential safeguards in their pursuit of financial gains. This underscores the importance of creating user-centric solutions that prioritize security without sacrificing accessibility and ease of use. A holistic approach to security, like what we’re building, integrated into every step of the user journey, is crucial for protecting users from the risks they may not even recognize.
The study found that a staggering 53.4% of users who fell victim to scams didn't change their security behaviors afterward. This indicates a concerning lack of awareness and a need for proactive security measures that protect users even when they don't prioritize it themselves.
From "Tech First" to "User First"
Blockchain innovation initially thrived on the "tech first, user second" mentality. This approach worked when DeFi was a playground for a select few. But the landscape has shifted. Web3 is no longer an exclusive club. To achieve true mass adoption, we need to evolve. We need to ask ourselves: Will we cling to the old ways, or will we embrace a more inclusive approach, one that prioritizes the needs and security of everyday and new users?
Building trust through User-Centric Products
The undeniable truth is, the most successful products, whether in Web2 or Web3, are built with the user in mind. This user-centric approach is even more critical in blockchain technology, especially in DeFi, where trust and security are paramount. Users, especially the new ones, need to know their assets are safe. We, as builders and developers, have a responsibility to ensure this security. It's not just about pushing code to GitHub anymore; it's about building brands and products that users can trust. We must prioritize their security and build trust if we want them to embrace this technology.
Polyzoa: Pioneering a new paradigm in Web3 Security
We have taken DeFi security to heart. That's why we created Polyzoa, a metachain to leverage the power of a decentralized community and AI to provide real-time threat detection and risk assessment. We truly believe that Web3 security should be a collaborative effort, a shared responsibility among all stakeholders in the Web3 ecosystem. By integrating Polyzoa's API, projects can tap into and contribute to a collective intelligence network that constantly monitors the blockchain for vulnerabilities and suspicious activities, like Address Poisoning. Become part of a collective effort to safeguard the DeFi ecosystem, sharing threat intelligence and contributing to a safer future for all. This proactive approach not only protects users but also fosters a culture of security consciousness within the Web3 and DeFi communities. We aim to empower projects to build more robust and trustworthy platforms, contributing to a safer and more accessible, secure DeFi landscape for everyone.
Conclusion: Web3 security matters more than ever
The future of Web3 hinges on a fundamental shift in perspective. We must move beyond the "build it and they will come" mentality and embrace a user-centric approach that prioritizes security, trust, and accessibility. As we have discussed before, only by building products and platforms that truly serve the needs of everyday and new users can we unlock the transformative potential of this technology and usher in an era of mass adoption, which we are very much overdue. We have taken the initiative, and we urge you to join us.
The Web3 market is undeniably moving towards regulation and cooperation with governments and corporations. It's becoming obvious that the "wild west" era has to end if we want to see real mass adoption. This shift will happen with the convergence of large-scale Web2/offline companies and battle-tested, trusted blockchain infrastructure. But there's a crucial component we are somehow still missing: robust Web3 security and clear regulatory frameworks (on which we will focus on our next article).
Regulation in Web3 isn't possible without clear responsibility, our shared responsibility, which should lie squarely on the shoulders of user-facing projects and the infrastructure providers we rely on. The exact things we are building. Just as banks are responsible for protecting their customers against fraud and theft, crypto projects will be liable for the losses their users suffer. Those of us who prioritize user protection will gain a significant advantage. They'll earn the trust of users, regulators, and businesses alike, helping to break through the crypto bubble and connect blockchain technology with the real world. This is where true mass adoption lies.
The rise and need of User-Centric Security in DeFi
This shift towards user protection is gaining momentum. "Real-life" customers are prioritizing trust and security, recognizing that the allure of quick gains in DeFi can often mask significant risks. Projects that aim to survive and thrive in the long term must prioritize user protection from the outset. This means building robust Web3 security measures in-house or relying on infrastructure that offers comprehensive protection embedded within their platform.
However, as highlighted by Liu et al. (2024), many DeFi users themselves don't always prioritize security, often overlooking essential safeguards in their pursuit of financial gains. This underscores the importance of creating user-centric solutions that prioritize security without sacrificing accessibility and ease of use. A holistic approach to security, like what we’re building, integrated into every step of the user journey, is crucial for protecting users from the risks they may not even recognize.
The study found that a staggering 53.4% of users who fell victim to scams didn't change their security behaviors afterward. This indicates a concerning lack of awareness and a need for proactive security measures that protect users even when they don't prioritize it themselves.
From "Tech First" to "User First"
Blockchain innovation initially thrived on the "tech first, user second" mentality. This approach worked when DeFi was a playground for a select few. But the landscape has shifted. Web3 is no longer an exclusive club. To achieve true mass adoption, we need to evolve. We need to ask ourselves: Will we cling to the old ways, or will we embrace a more inclusive approach, one that prioritizes the needs and security of everyday and new users?
Building trust through User-Centric Products
The undeniable truth is, the most successful products, whether in Web2 or Web3, are built with the user in mind. This user-centric approach is even more critical in blockchain technology, especially in DeFi, where trust and security are paramount. Users, especially the new ones, need to know their assets are safe. We, as builders and developers, have a responsibility to ensure this security. It's not just about pushing code to GitHub anymore; it's about building brands and products that users can trust. We must prioritize their security and build trust if we want them to embrace this technology.
Polyzoa: Pioneering a new paradigm in Web3 Security
We have taken DeFi security to heart. That's why we created Polyzoa, a metachain to leverage the power of a decentralized community and AI to provide real-time threat detection and risk assessment. We truly believe that Web3 security should be a collaborative effort, a shared responsibility among all stakeholders in the Web3 ecosystem. By integrating Polyzoa's API, projects can tap into and contribute to a collective intelligence network that constantly monitors the blockchain for vulnerabilities and suspicious activities, like Address Poisoning. Become part of a collective effort to safeguard the DeFi ecosystem, sharing threat intelligence and contributing to a safer future for all. This proactive approach not only protects users but also fosters a culture of security consciousness within the Web3 and DeFi communities. We aim to empower projects to build more robust and trustworthy platforms, contributing to a safer and more accessible, secure DeFi landscape for everyone.
Conclusion: Web3 security matters more than ever
The future of Web3 hinges on a fundamental shift in perspective. We must move beyond the "build it and they will come" mentality and embrace a user-centric approach that prioritizes security, trust, and accessibility. As we have discussed before, only by building products and platforms that truly serve the needs of everyday and new users can we unlock the transformative potential of this technology and usher in an era of mass adoption, which we are very much overdue. We have taken the initiative, and we urge you to join us.