> It also saved on costs by limiting the number of interactions between the platform and outside entities. For example, when Indexed needed to calculate the total value held within a pool, instead of checking token prices on an exchange such as Uniswap, it sometimes extrapolated from the value and weight of the largest token within the pool, called the “benchmark” token.
> This way, it reduced the fees it paid for transactions on the Ethereum blockchain.
This cost-saving mechanism ultimately allowed the hack to take place.
isolli|3 years ago
> It also saved on costs by limiting the number of interactions between the platform and outside entities. For example, when Indexed needed to calculate the total value held within a pool, instead of checking token prices on an exchange such as Uniswap, it sometimes extrapolated from the value and weight of the largest token within the pool, called the “benchmark” token.
> This way, it reduced the fees it paid for transactions on the Ethereum blockchain.
This cost-saving mechanism ultimately allowed the hack to take place.