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Andre Cronje: Nowadays, many DeFi protocols are no longer true DeFi in the real sense, and the industry is debating whether a circuit breaker mechanism should be introduced

Andre Cronje stated in an interview with Cointelegraph that many DeFi protocols today are "no longer truly DeFi" and are more like "profit-driven companies operated by teams," as they generally rely on upgradable contracts, multi-signatures, off-chain infrastructure, and manual operational control.Cronje pointed out that the current industry is still overly focused on smart contract audits while neglecting operational risks that are closer to traditional finance (TradFi). He believes that recent attack incidents are not due to code vulnerabilities but stem from off-chain infrastructure, permission management, and social engineering attacks.The discussion arises from the recent frequent security incidents in DeFi. In April, protocols such as Flying Tulip, Drift Protocol, and Kelp encountered security events, with Drift and Kelp suffering losses of approximately $280 million and $293 million, respectively.In response, Flying Tulip has introduced a "Withdrawal Circuit Breaker," which can delay or queue withdrawal requests when unusually large withdrawals occur, allowing the team about 6 hours to respond. Cronje emphasized that this mechanism does not permanently freeze withdrawals but serves as a layer of protection within the security system.However, Michael Egorov holds a cautious attitude towards this. He stated that the circuit breaker itself could also become a new point of centralized risk. If control permissions fall into the hands of an attacker, the mechanism originally intended to protect the protocol could instead be used to freeze assets or directly transfer funds.Egorov believes that the long-term direction of DeFi should be to minimize human intervention and centralized permissions as much as possible, rather than adding more layers of manual control. "The security of DeFi comes from decentralization, not more human management."

Coinbase incubated the x402 protocol and launched the artificial intelligence robot application store Agent.market

According to The Block, the x402 Foundation, incubated by Coinbase, has announced the launch of the unified platform Agent.market, aimed at providing an "app store"-like service entry for AI robots.The platform is built on the x402 protocol and helps users and robots access hundreds of tools and services. The x402 protocol is named after the unused HTTP 402 "Payment Required" status code, allowing websites, APIs, and AI robots to request and receive instant micropayments through blockchain and traditional payment channels. The protocol is managed as an open standard by the x402 Foundation under the Linux Foundation and has the support of over 20 organizations and crypto companies, including Cloudflare, Stripe, AWS, Google, Visa, Base, Circle, and the Solana Foundation.When Agent.market goes live, it will cover seven major categories including reasoning, data, media, search, social, infrastructure, and trading, with service providers including OpenAI and Venice (reasoning); Bloomberg and CoinGecko (data); LinkedIn, X, and AgentMail (social); AWS Lambda, QuickNode, and Alechemy (infrastructure); as well as Bankr and Coinbase RAT (trading). Providers can join the marketplace without permission.Erik Reppel, the creator of the x402 protocol, stated that there are currently about 69,000 active agent robots on the protocol, which have completed over 165 million transactions with a transaction volume of 50 million dollars. He pointed out that agent commerce based on x402 is reshaping the customer acquisition activation costs for businesses, as robots can now access services at a very low setup cost without needing API keys.

Bitcoin developers proposed BIP-361 to combat potential future quantum attack risks

One of the Bitcoin contributors, Jameson Loop, along with other cryptographers, has proposed an initiative that may force Bitcoin holders to migrate their tokens to new quantum-resistant addresses, or else their tokens will be permanently frozen by the network itself. In this scenario, holders technically still own these coins but will lose the ability to transfer them. This is known as Bitcoin Improvement Proposal BIP-361, which was updated on Tuesday in Bitcoin's official proposal repository, titled "Post-Quantum Migration and Old Signature Retirement."BIP-361 builds on the BIP-360 proposal introduced in February. BIP-360 introduced a soft fork (a type of network upgrade) aimed at enabling a new transaction type called "Pay to Merkle Root" (P2MR). This approach draws on Bitcoin's Taproot (P2TR) framework but removes key-based spending paths, thereby eliminating an element widely considered to pose risks in the quantum era.The BIP-361 proposal divides the migration into three phases. Phase A starts three years after activation and prohibits anyone from sending new bitcoins to old, quantum-vulnerable addresses. You can still spend from these addresses, but you cannot receive any coins. Phase B starts five years after activation and will render old signatures (ECDSA and Schnorr) completely ineffective, with the network rejecting any attempts to spend coins from quantum-vulnerable wallets.Essentially, your coins will be frozen. Finally, there is Phase C, which is a rescue plan still under research: holders of frozen wallets may potentially prove ownership through zero-knowledge proofs (a method of proving knowledge of a secret without revealing the secret itself). If successful, the coins frozen in Phase B can be recovered.
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