How to solve security issues in blockchain games

Original Author: David Balaban

Compiled by: Chain Market

Blockchain games are the intersection of the gaming world and blockchain, fundamentally changing the gaming industry. Simply put, this phenomenon refers to any game or platform that uses blockchain technology to manage in-game assets, verify transactions, or support game logic.

The Dark Side: Security Issues

Like all technologies, blockchain games are not without vulnerabilities. While the decentralized nature of blockchain makes it more secure, this does not equate to absolute security. Actual security depends on implementation and user practices. Crypto experts from Clash share insights into specific security challenges these games may face.

1. Insecure Tokenized Asset Digital Ownership

Tokenized assets are digital assets represented as tokens on the blockchain. They can be seen as digital ownership certificates for any in-game item. The ownership of these tokenized assets is closely tied to the cryptographic private key. If users cannot access their private keys, they effectively lose ownership of their tokenized assets.

Users may simply forget where they stored their private keys, but more concerning is the rising trend of phishing attacks. Hackers deceive users into revealing sensitive data, leading to the loss of their digital game assets. Therefore, private key management has become a significant issue in recent years.

2. Vulnerabilities in Smart Contracts

Smart contracts in blockchain games are highly efficient. They autonomously execute operations based on predefined conditions, reducing human error and the need for intermediaries. However, as the complexity of these contracts increases, so do their vulnerabilities. Once activated, smart contracts are difficult to modify. Even a slight oversight in coding can be exploited by hackers, leading to unintended consequences.

Moreover, smart contracts often interact with external data sources. If these interactions are not adequately protected, they can become additional points of vulnerability. Finally, deploying smart contracts without thorough testing is a serious issue that can lead to many undiscovered vulnerabilities.

3. Network Risks of Blockchain Platforms

Blockchain gaming platforms and markets are increasingly becoming targets for cyberattacks. Hackers use techniques such as malware or network attacks to infiltrate platforms and player accounts. From there, they can manipulate the in-game economy or directly steal assets.

While blockchain games reduce the risk of data breaches or hacks targeting a single central server due to data being distributed across multiple nodes, some blockchain games still rely on centralized servers. Additionally, there are public nodes that relay information between blockchains. All of these can become targets for DDoS attacks. Such attacks may be used to disrupt a competitor's game or demand ransom.

4. Privacy and Identity Issues

Gamers share a significant amount of information, from basic details like names and email addresses to sensitive financial information during in-game purchases. Data breaches can lead to identity theft, financial loss, or unnecessary intrusions into personal lives.

Characters or avatars created by players may wish to remain separate from their real-world identities. Many players highly value the ability to game anonymously. The advantage of blockchain lies in its immutability, meaning that once data is stored, it cannot be modified or deleted.

This immutability can pose problems if sensitive information needs to be corrected or deleted. Furthermore, most blockchains are transparent, allowing anyone to view transactions. Without proper anonymization, this transparency could inadvertently expose players' identities or activities.

A player's identity is their passport into the virtual world. It represents their achievements and reputation. With the rise of paid games and tokenized assets, a player's identity in the game often holds real monetary value. Violations can lead to financial losses.

Strengthening the Security Net of Blockchain Games

Ensuring player safety is crucial for the gaming industry. To ensure that players can enjoy a secure gaming environment, we have taken proactive measures. Here are some key strategies to enhance security.

1. Multi-signature Wallets

Many games now use multi-signature wallets that require multiple private keys to authorize transactions. This adds an extra layer of security against unauthorized transactions.

2. Regular Security Audits

Routine checks by third-party companies ensure that game code and smart contracts are secure and free of vulnerabilities.

3. Incorporating Zero-Knowledge Proofs

Games can use this cryptographic method to allow transactions without revealing transaction details, thereby enhancing privacy.

4. Enhanced Player Verification

By introducing strict verification processes, games can ensure player authenticity, thereby reducing fraud.

5. Player Education and Awareness

By educating players on safe practices, games can minimize the risks of phishing attacks and scams.

6. Off-chain Storage

By storing sensitive player data off the blockchain and only using the blockchain for transaction verification, gaming platforms can ensure a higher level of confidentiality.

7. Layered Security Measures

Using multi-layered security, such as Web Application Firewalls (WAF) and traffic analyzers, can help detect and fend off malicious actors.

8. Regulatory Measures

Governments and regulatory bodies around the world are closely monitoring tokenized assets, leading to the establishment of anti-money laundering, Know Your Customer (KYC), and other regulations to ensure user protection.

Conclusion

The fusion of gaming and blockchain brings immense possibilities, but it is crucial for players and platforms to remain vigilant and update security measures. With the right precautions, we can ensure a seamless and secure gaming experience.