After $2 Million Exploit, Bedrock Turns To Chainlink Proof Of Reserve For Secure Minting
Through this collaboration, Bedrock and Chainlink are pioneering standards on how tokenized asset security should be handled,” he said. “Proof of Reserve will secure the minting function for uniBTC
Following today’s security exploit involving uniBTC which caused $2 million in losses, multi-asset liquid restaking protocol Bedrock announced it’s integrating Chainlink Proof of Reserve (PoR) to prevent similar attacks in the future.
Launched last year by Singapore-based blockchain firm RockX, Bedrock is the eighth-largest liquid restaking protocol with over $230 million in TVL. Its synthetic wrapped tokens such as uniBTC, uniETH, and uniIOTX allow users to earn yield through staking.
PoR leverages Chainlink’s industry-standard oracle infrastructure – which has securely and reliably enabled over $15 trillion in transaction value, even during volatile market conditions and adverse events such as flash loan attacks – to provide cryptographically verified, real-time updates for reserves backing digital assets. As such, PoR offers superior transparency and accuracy compared to annual statutory audits, interim audits, and monthly proof of reserves.
Bedrock will utilize PoR to secure its minting function and reinforce the protocol’s security.
“Chainlink Proof of Reserve will provide Bedrock with automated and verifiable onchain checks to help ensure the correct backing of reserves, preventing the kind of exploit we experienced today,” read an official announcement.
Chief Business Officer at Chainlink Labs, Johann Eid, underscored PoR’s critical role in establishing a new standard of transparency, security, and reliability for digital assets, decentralized exchanges, and crypto ETFs.
“Through this collaboration, Bedrock and Chainlink are pioneering standards on how tokenized asset security should be handled,” he said. “Proof of Reserve will secure the minting function for uniBTC, taking a critical step in securing this asset, while providing users with full transparency around reserves.”
“Integrating Chainlink Proof of Reserve is a critical step in fortifying our protocol and helping ensure the utmost protection of user funds,” said Bedrock core contributor, Zhuling. “By leveraging the industry-standard Chainlink Proof of Reserve, we can provide verifications that all assets are fully collateralized and secure our minting function, providing a reliable and transparent minting process that gives our users the utmost confidence.”
In addition to collaborating with audit teams and white hats to recover lost funds, Bedrock is compiling a reimbursement plan alongside a post-mortem report.
