👁️‍🗨️Introduction

The Problem

The crescent threats in the ERC Defi Space

Decentralized finance (DeFi) has been gaining immense popularity in recent years, with the emergence of blockchain-based financial applications that promise to offer a more open and transparent alternative to traditional finance. The Ethereum network, in particular, has been at the forefront of this revolution, with the creation of the ERC-20 token standard enabling the development of a wide range of DeFi applications.

However, as the DeFi space continues to evolve, it has also become increasingly challenging to navigate for ordinary users. Malicious actors such as MEV sandwich bots, scammers, and dishonest developers have been on the rise, exploiting vulnerabilities in the system to engage in frontrunning attacks, rug pulls, tax farming scams, and other fraudulent activities.

These challenges have made it harder than ever for normal users to trade in a safe environment profitably. Many DeFi users have lost significant amounts of money due to these malicious activities, and the overall trust in the system has been severely eroded.

As the DeFi space continues to mature, it is becoming clear that new solutions will be needed to address these challenges. This will require greater collaboration between developers, regulators, and the broader DeFi community to establish more robust security protocols, improved transparency, and a more user-friendly experience for all participants.