Tokenomics is the study and design of economic systems and models based on blockchain tokens, encompassing aspects like distribution, utility, and the incentives that drive the behavior of token holders within a particular blockchain ecosystem. Staking in Decentralized Finance (DeFi) allows users to earn passive income by locking their tokens.
On 12 October 2023, DeFi project Platypus Finance was exploited across three flash loan transactions, by two externally owned addresses (EOAs), for approximately $2.23 million. The exploit was due to price manipulation of the Platypus WAVAX and sAVAX pools. Platypus were able to recover $575k after a mistake by an exploiter.
During a recent bridge audit, an approach utilizing Finite State Machines led to the identification of a critical vulnerability. FSMs serve as valuable tools for discovering bugs in the implementation of a project design.