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Mastering Blockchain, Fourth Edition

You're reading from Mastering Blockchain, Fourth Edition Inner workings of blockchain, from cryptography and decentralized identities, to DeFi, NFTs and Web3

Product type Paperback

Published in Mar 2023

Publisher Packt

ISBN-13 9781803241067

Length 818 pages

Edition 4th Edition

Languages

Solidity

Tools

Blockchain

Concepts

Blockchain

Author (1):

Imran Bashir

View More author details

Table of Contents (24) Chapters

Preface

1. Blockchain 101 FREE CHAPTER

2. Decentralization

3. Symmetric Cryptography

4. Asymmetric Cryptography

5. Consensus Algorithms

6. Bitcoin Architecture

7. Bitcoin in Practice

8. Smart Contracts

9. Ethereum Architecture

10. Ethereum in Practice

11. Tools, Languages, and Frameworks for Ethereum Developers

12. Web3 Development Using Ethereum

13. The Merge and Beyond

14. Hyperledger

15. Tokenization

16. Enterprise Blockchain

17. Scalability

18. Blockchain Privacy

19. Blockchain Security

20. Decentralized Identity

21. Decentralized Finance

22. Blockchain Applications and What’s Next

23. Index

The DAO

The Decentralized Autonomous Organization (DAO), started in April 2016, was a smart contract written to provide a platform for investment. Due to a bug in the code, called the reentrancy bug, it was hacked in June 2016. An equivalent of approximately 3.6 million ether was siphoned out of the DAO into another account.

Even though the term “hacked” is used here, it was not really hacked. The smart contract did what it was asked to do but due to its vulnerabilities, the attacker was able to exploit it. It can be seen as an unintentional behavior (a bug) that the programmers of the DAO did not foresee. This incident resulted in a hard fork on the Ethereum blockchain, which was introduced to recover from the attack.

The DAO attack exploited a vulnerability (reentrancy bug) in the DAO code where it was possible to withdraw tokens from the DAO smart contract repeatedly before giving the DAO contract a chance to update its internal state, indicating how many...

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Authors (1)

Imran Bashir

Imran Bashir

Imran Bashir has an M.Sc. in Information Security from Royal Holloway, University of London, and has a background in software development, solution architecture, infrastructure management, and IT service management. He is also a member of the Institute of Electrical and Electronics Engineers (IEEE) and the British Computer Society (BCS). Imran has extensive experience in both the public and financial sectors, having worked on large-scale IT projects in the public sector before moving to the financial services industry. Since then, he has worked in various technical roles for different financial companies in Europe's financial capital, London.

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