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This Week in Custody · Aug 9, 2022

This Week in Custody #40

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Philip Glazman · This Week in Custody

This Week in Custody is a newsletter covering technical and narrative developments in digital asset custody written for wallet engineers, digital asset operators, and security engineers.

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  • US Treasury sanctions Ethereum addresses related to Tornado Cash.

  • Figment announces Slate - a universal staking API.

  • Dynamic raises seed round to build wallet-based authentication.

  • Barclays backs Copper.

  • Nomad bridge is hacked. The exploit drained ~$190M from the bridge. A recent upgrade introduce a bug that changed how messages on the bridge were checked.

  • Slope, a popular wallet on Solana, has a widespread incident where its users funds were stolen. Their postmortem explains that the app sent *plaintext* secret key material to Sentry, a third-party service.

  • Near Protocol’s Web Wallet discloses that it sometimes sent *plaintext* secret key material to a third-party service. If a user interacted with the web wallet and chose email as their recovery method, their seed phrase was leaked to a third-party.

  • New draft BIP for specifying multiple BIP32 derivation paths in a single Descriptor. This is nice way of describing wallets that have derive internal and external addresses using the same parent keychain.

  • FediMint is building federated Chaumian e-cash mints. It’s been described as a scaling solution and is a really neat model for sharing UTXOs if one is comfortable with the trust model.

  • Fuzzing BDK’s coin selection source code. Nice story on how fuzzing always helps.

  • BitMEX covers the recent narrative for ETHPoW and ETH2. There has been a lot of conversation about the upcoming merge and the non-zero risk of a contentious hard-fork.

  • Draft for a BLS transaction type.

  • Rainbow Wallet adds support for NFTs.

  • Some more ETHCC videos:

    • Infura shares its history and future roadmap. Infura is busy adding new networks to its hosted node infrastructure including Near, Aurora, and StarkNet.

    • What are the best off-the-shelf fuzzers available for smart contract fuzzing? Fuzzing Labs gives an overview.

    • OpenZeppelin highlights latest developments in smart contract.

    • WalletConnect has a deep dive on its architecture.

  • What happens when you send 1 DAI? This blog post showcases the order of operations that happens in wallets and the EVM.

  • There is a new implementation of EIP-5139. The proposal describes a format for lists of RPC providers for EVM-like chains. This is similar to Token Lists, but for RPC providers.

  • Arbitrum One is preparing its Nitro upgrade for the end of August. Nitro is claimed to provide cheaper costs and faster execution for transactions. Here is a primer.

  • A proposed Uniswap Foundation asks for money from the community.

  • evm-translator by Metagame turns transactions into human readable JSON objects. Very interesting way to simulate transactions or attributing meaning to on-chain actions. Demo available here.

  • Trail of Bits publishes a blog post on its slither-read-storage tool which allows one to read storage slots of a smart contract using only source code.

  • Delphi Digital publishes a complete guide to rollups. As usual, the guide is very long-form and thorough.

  • Proposal for mev-boost to add a circuit-breaker pattern to its deployment.

  • Huff language announcement.

  • Account Abstraction has been a popular topic and is really important to understand if on-chain wallets continue to be popular. This is a good entrypoint.

  • ConnectKit looks like a powerful tool for wallet developers. It is a React component library for apps requiring wallet connections.

  • Osmosis increases minimum gas fee.

  • Moonbeam published a really good overview of how Axelar is helping create cross-chain applications.

  • Payment Channels for Monero.

  • ZSwap: non-interactive swaps.

  • Paradigm makes a PoC replacing Tendermint with Narwhal/Bullshark.

  • Analysis of Polkadot: Architecture, Internals, and Contradictions

  • Juno experiences a chain-halt due to a fault in the cosmwasm implementation. Thread.

  • A paper that discusses how to bootstrap PoS chain to PoW (e.g. bitcoin) to derive its security by making succinct commitment to the trusted chain.

  • Writing Solana programs with Python using Seahorse.

  • Aleo announces another testnet.

  • Relayer v2 Announcement. Relayer forwards messages between IBC-enabled app chains. Among other things, the announcement signals that Relayer will start to support non-Cosmos SDK chains like Penumbra and Polkadot.

  • Excellent post on scaling state history indexing for Solana.

Thanks for reading! Have a great week.

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