<p>TON’s first native Restaking platform UTONIC Protocol joins forces with TonBit, an early supporter and security expert of the TON ecosystem, to form TON’s Security Alliance, which aims to strengthen and secure TON’s and Telegram’s ecosystems.</p><h3 id="the-vulnerabilities-of-the-ton-telegram-ecosystem">The Vulnerabilities of the TON/Telegram Ecosystem</h3><p>On Nov 16, a popular Telegram Trading Bot for memecoins named DEXX.ai encountered a severe attack on its data server, causing leaks of users’ custodial wallets and tens of millions of fund losses.</p><p>Based on this incident, UTONIC Protocol found the most adopted method for storing private keys by the Telegram Trading Bot applications is centralized and vulnerable to single-point failure.</p><p>In partnership with TonBit, a sub-brand of BitsLab and an early builder and security expert in the TON ecosystem, UTONIC Protocol proposes a safer solution for private key storage that combines MPC and AVS (Actively Validated Services) for the Telegram Trading Bot applications.</p><h3 id="mpc-avs-combined-to-decentralize-private-key-storage">MPC &amp; AVS Combined To Decentralize Private Key Storage</h3><p>UTONIC introduces a hybrid MPC &#43; AVS (Actively Validated Services) approach, combining the best of decentralization and security for Trading Bots.</p><p>In such design, users’ private keys with Distributed Key Generation will be divided into three shards, held by:</p><ul><li><strong>User&#39;s Device</strong></li><li><strong>The Trading Platform</strong></li><li><strong>UTONIC’s AVS Network</strong></li></ul><p>Each transaction requires a <strong>2-of-3 </strong>multi-signature, making it impossible for any single party to access user funds.</p><p>UTONIC Protocol also implements AVS as the Trusted Layer in partnerships with credible third-party validators to offer trust and security to the users. The AVS mechanism operates by establishing a shared security model, where restaked assets are reserved to provide insurance. This approach not only aligns the economic incentives of the validators with protocols’ stability and reliability, but also significantly enhances the overall security framework, fostering a robust ecosystem.</p><p>The approach ensures that private keys are non-exportable and decentralized. In addition, Telegram Trading Bots can deposit funds into UTONIC’s Restaking pools to provide insurance for compensating users, if any loss is related to AVS.</p><p><img src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXdHrnCD66-blxmZ0Pxwnu7j_7aPw-KmGdtowx2rBIBG-H9VpIzvoVb-CyM0gcsUWjcNFFs7sd_mmxqqte_GTNRy9C6ow3B0pa6uMx3xg1yIU_HSVROfHlJ9NCf6mrRyoko?key&#61;11WZlfIVDeK4stunyfSS_kAd" /></p><h3 id="a-comprehensive-security-strategy">A Comprehensive Security Strategy</h3><p>UTONIC Protocol offers a comprehensive security solution centered around the concepts of periodic asset snapshots, which ensure secure asset verification at regular intervals. Here’s how it works:</p><ol><li><strong>Periodic Asset Snapshots</strong>: AVS takes regular snapshots of assets, ensuring that holdings are accurately and transparently reported, enhancing security without requiring assets to be moved.</li><li><strong>API Access for Scanning</strong>: Through UTONIC AVS API, projects within the TON ecosystem can selectively scan and verify modules critical to their operations, preventing attacks and enhancing protection against potential vulnerabilities.</li></ol><p>Gaming and finance are two typical examples that can benefit from AVS Service.</p><ol><li>Gaming: Through <strong>Random Number Generator </strong>and<strong> Decentralized Storage</strong> for In-Game Points, AVS service can minimize risks related to centralized control</li><li>Finance: AVS provides <strong>decentralized MPC wallet custody</strong>, <strong>oracle pricing</strong>, <strong>decentralized order storage</strong>, and <strong>ZK-based storage and verification for user relationships (rebates)</strong>, ensuring secure, transparent, and privacy-preserving operations within the TON ecosystem.</li></ol><p>UTONIC has announced <a href="https://cointelegraph.com/press-releases/utonic-protocol-partners-with-10-avs-providers-to-bring-a-paradigm-shift-to-ton-restaking" rel="noopener noreferrer nofollow">10&#43; notable projects joining as UTONIC’s AVS partners. </a></p><h3 id="the-security-alliance-with-tonbit-to-safeguard-ton-telegram-apps">The Security Alliance with TonBit to Safeguard TON &amp; Telegram Apps</h3><p>TonBit considers that, although the TON Blockchain is designed to be open and decentralized, it has inherent security limitations, including the centralized elements within Telegram&#39;s infrastructure and TON&#39;s core design. Additionally, TON Blockchain’s native randomness mechanism presents security vulnerabilities and high operational costs, which can affect reliability and overall security.</p><p>Both UTONIC Protocol and TonBit are working to establish a robust security alliance on TON. This alliance is crucial for applications such as sidechains, data availability layers, keeper networks, oracle networks, bridges, and so on. These applications face significant security risks, and addressing these is essential for their stability and user trust.</p><p>The Security Alliance hereby provides a complete solution, leveraging the bests of UTONIC and TonBit:</p><ol><li><strong>Security Audit</strong>: Projects conduct a preliminary security audit to identify vulnerabilities and assess the current security status.</li><li><strong>AVS Protection</strong>: After the initial audit, UTONIC implements AVS to provide continuous validation and regular asset snapshot reporting, ensuring ongoing security.</li></ol><h3 id="a-safer-future-for-the-ton-ecosystem">A Safer Future for the TON Ecosystem</h3><p>Through UTONIC’s innovative solution and alliance with TonBit, UTONIC is introducing a new standard in security for TON restaking. By utilizing UTONIC’s AVS, these applications can operate within a secure environment, which not only strengthens builder confidence but also encourages seamless integration into the TON ecosystem.</p><h3 id="about-utonic-protocol">About UTONIC Protocol</h3><p>UTONIC is the first revenue-sharing restaking layer for one billion users on TON and Telegram, which allows users to restake their Native TON tokens and LST TON tokens by depositing the assets, and receive uTON as the liquid restaking tokens.</p><h3 id="about-tonbit">About TonBit</h3><p>TonBit is a sub-brand of BitsLab, an early builder and security expert in the TON ecosystem which provides smart contract audits for TACT and FunC. TonBit is also a proud builder of TonScanner, a universal browser for the TON Blockchain.</p>

UTONIC Protocol and TonBit Join Forces to Form TON's Security Alliance

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Terry Junior

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