“WazirX Hack serves as a wakeup call for exchanges”: CIFDAQ COO Jay Hao

As a seasoned researcher who has closely followed the crypto industry for years, I find it fascinating to see Jay Hao, the former CEO of OKX, taking on a new role at CIFDAQ as Global COO. His vision for driving growth and innovation in the Web3 space is commendable and aligns with my own expectations for the future of this dynamic industry.


Previously serving as CEO at OKX, Jay Hao is set to assume the role of Global Chief Operating Officer (COO) at CIFDAQ, a company specializing in AI-driven blockchain technology, effective this coming Thursday. Prior to his new position, he had an informal chat with The Crypto Times reporter Gopal Solanky where he offered unique perspectives on the recent WazirX hack involving 2000 crore rupees and lessons the web 3.0 sector can derive from this event.

We have published excerpts from the interview in this article.

1) I’m thrilled about my new position as Global COO at CIFDAQ! In the realm of web3, my priorities will revolve around shaping and driving CIFDAQ’s strategic vision. I look forward to navigating this exciting frontier together with the team, focusing on fostering innovation, enhancing user experience, and contributing to the global crypto community.

Hi there! I’m truly grateful for your heartwarming reception! At CIFDAQ, my main goal is to foster expansion by embracing innovation in the Web3 realm. Our ambition is to establish a sturdy infrastructure that spans across various aspects such as blockchain technology, decentralized finance (DeFi), digital assets, and other related fields. My strategic plan emphasizes creating an all-inclusive platform that effectively tackles user challenges like security, scalability, and effortless integration of services.

2) In your previous role as CEO of OKX, you’ve gained valuable experience. Could you elaborate on why security continues to be a crucial aspect in Web3, DeFI, and the cryptocurrency sector?

Essential security measures are crucial in the realms of Web3, DeFi, and cryptocurrencies because these sectors prioritize security fundamentally. The decentralized structure of these technologies transfers the duty of asset protection from institutions to individuals, making strong security practices indispensable for safeguarding user funds and information. Unlike conventional financial systems where banks or intermediaries are at the center of security management, the open-source nature of blockchain systems means that any weakness can potentially be exploited on a large scale – as demonstrated by numerous hacking incidents throughout the years.

3) Regarding security in the cryptocurrency sector, I’m sure you’ve heard about the recent WazirX Hack where a hacker managed to withdraw approximately $239 million from a multi-signature cold wallet of the WazirX exchange. What insights can the crypto community take away from this incident?

Hao: The WazirX hack serves as a wake-up call for the entire crypto community, reminding us of the importance of not just technology but also operational security and vigilance. Multi-signature wallets are designed to add an extra layer of security, but they are not foolproof if proper internal controls, auditing mechanisms, and threat detection systems are not in place. A critical lesson from this incident is the need for continuous monitoring and frequent audits of wallet operations. Exchanges must implement multi-layered security architectures that include real-time monitoring for abnormal activities, constant internal auditing, and prompt updates to address potential vulnerabilities.

4) What do you think the WazirX exchange could have done better?

John: WazirX, much like other exchanges, could have gained additional security by implementing stricter controls over user permissions and transaction approvals, as well as enhancing its response time during incidents. In the future, it’s crucial to emphasize both the development of secure systems and educating users about best practices for protecting their assets.

4) What are your thoughts on the development of the cryptocurrency sector over the course of the next ten years?

Hao: The crypto space is poised for exponential growth over the next decade. As blockchain technology matures, we will see greater adoption of decentralized systems in various sectors, not just in finance but also in healthcare, supply chain management, entertainment, and governance. The next 10 years will likely bring more regulatory clarity globally, which will further pave the way for mass adoption. We can also expect to see a deeper integration of Web3 technologies with traditional finance systems, where users will have greater control over their financial activities, backed by transparency and decentralization.

Also Read : How Crypto Gets Stolen by Hackers and Can You Get it Back?
 

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2024-10-17 15:06