5 Post-Deployment Security Tips for Smart Contracts

August 18, 2024

Here's a quick guide to keeping your smart contracts secure after deployment:

  1. Set up ongoing monitoring
  2. Use event logging
  3. Perform regular audits
  4. Start a bug bounty program
  5. Create an incident response plan

These tips help protect against vulnerabilities, attacks, and potential losses. Let's break them down:

Tip Key Benefit Implementation
Ongoing monitoring Catch issues early Use tools like Tenderly Alerts
Event logging Track important changes Implement clear, searchable events
Regular audits Find and fix vulnerabilities Schedule checks every 1-6 months
Bug bounty program Leverage community expertise Offer rewards for finding issues
Incident response plan React quickly to problems Define roles and steps for emergencies

By following these practices, you can significantly improve your smart contract's long-term security and reliability.

1. Set Up Ongoing Monitoring

Keeping an eye on your smart contracts after deployment is key to catching and fixing issues quickly. Here's how to do it effectively:

Why Monitor Smart Contracts?

Monitoring helps you:

  • Spot problems early
  • React fast to security threats
  • Fix issues before users complain

What to Watch

Focus on these key areas:

Metric Why It Matters
Failed transactions Can indicate contract bugs
Unusual transaction patterns Might signal an attack
Suspicious wallet activities Could be a hacker at work
Error rates and types Helps identify recurring issues
Gas usage spikes May point to inefficiencies or attacks

Tools for Monitoring

Tenderly Alerts is a useful tool for watching smart contracts. It offers:

  • Real-time alerts for on-chain events
  • 12 pre-set alert triggers
  • Notifications via email, Slack, or other systems
  • Access to detailed blockchain data

Setting Up Your Monitoring System

  1. Pick a tool like Tenderly Alerts
  2. Set up alerts for specific contract activities
  3. Customize triggers for your contract's needs
  4. Connect alerts to your team's communication tools

"Tenderly Alerts can notify users when a transaction fails, allowing for faster detection of issues and enabling immediate action to prevent user complaints," explains a Tenderly representative.

2. Use Event Logging

Event logging is key for keeping smart contracts secure and clear after they're deployed. It creates a reliable record of important changes, helping developers:

  • Keep track of money movements
  • Watch important contract actions as they happen
  • Make things clearer for users and auditors
  • Fix problems more easily

How to Log Events Well

To get the most out of event logging:

  1. Name events clearly and choose good parameters
  2. Use emit to trigger events
  3. Add indexed parameters to make searching easier

Here's a good example of an event in Solidity:

contract EventGreeter {
    event Greeting(address indexed sender, string message);
    function say(string _message) public {
        emit Greeting(msg.sender, _message);
    }
}

When logging events, make sure to record:

  • New states of changed storage variables
  • Who made the change
  • When the event happened

Looking at Logs for Security

To find possible security issues in logs:

  1. Use services that help organize and study logs
  2. Set up warnings for odd patterns or when things pass certain limits
  3. Check logs often to spot trends or strange things
Service What It Does
Dune Analytics Custom SQL searches, shows data visually
Forta Spots threats right away, can be customized
HAL Watches automatically, works with many blockchains
OZ Defender Runs scripts automatically, helps with security
The Graph Organizes blockchain data, uses GraphQL API

"Events in Solidity are essential for monitoring changes to smart contracts and can be used to track transactions and update user interfaces," explains a blockchain developer at ConsenSys.

3. Perform Regular Audits

Smart contract audits are key to keeping your contracts safe after deployment. They help find and fix problems before they cause trouble.

How Often to Check

Check your contracts based on how risky they are:

Contract Type How Often to Audit
High-risk or often changed Every month
Normal Every 3 months
Low-risk or rarely changed Every 6 months

What to Look For

When you audit, check these things:

  • Code problems
  • Business logic issues
  • Following rules
  • Meeting security standards
  • Unexpected issues from contract interactions

Steps in an Audit

  1. Plan what to check
  2. Look at the code and how it works
  3. Find possible risks
  4. Make sure the risks are real
  5. Write a report with advice

Why Use Outside Experts

Getting help from outside auditors is smart because:

  1. They give a fair view
  2. They know a lot about security
  3. They use good tools like Mythril and MythX
  4. They help you follow the rules
  5. They make people trust your contract more

"Smart contract audits are essential for identifying and mitigating vulnerabilities, ensuring compliance, and enhancing overall security," says a top blockchain security expert.

Useful Tools

Some tools that help with audits are:

These tools can find problems in your code that you might miss.

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4. Start a Bug Bounty Program

Bug bounty programs help find problems in smart contracts after they're deployed. They work by paying people to find and report issues.

Why Use Bug Bounties

Bug bounties can:

  • Find problems internal teams miss
  • Cost less than regular security checks
  • Use skills from many people worldwide

Real-World Example

Aurora, a protocol on NEAR, paid $6 million to a hacker who found a big problem. This issue could have lost 70,000 ETH and $200 million in other assets.

How to Set Up a Bug Bounty Program

  1. Make clear rules about what bugs to look for
  2. Set good rewards (usually about 10% of the money at risk)
  3. Create easy ways for people to report bugs
  4. Have a team ready to check reported bugs
  5. Be open and fair with the people who find bugs

Platforms like Immunefi and HackerOne can help run these programs.

Getting People Involved

To get more people to help:

  • Offer big rewards (MakerDAO offers up to $10 million)
  • Give clear instructions for reporting
  • Talk openly with researchers
  • Thank people publicly for finding bugs

Examples of Big Payouts

Project Payout Issue Found
Aurora $6 million Risk to $200 million in assets
Polygon $2.2 million Risk to $850 million
Optimism $2 million Possible infinite ETH printing

"Bug bounty programs are key for finding and fixing problems in blockchain projects," says a top blockchain security expert.

Tips for Success

  • Define what parts of your system people should check
  • Be clear about how much you'll pay for different types of bugs
  • Respond quickly to reports
  • Use tools like fuzz testing to find more issues

5. Create an Incident Response Plan

A good incident response plan helps manage security issues in smart contracts quickly. Here's how to make one:

Key Parts of the Plan

Component Details
Team Roles Who does what during an incident
Response Steps How to find, stop, and fix problems
Communication How to tell users and partners about issues
Outside Help Contact info for security experts and lawyers
When to Act What problems need the full plan

Handling Issues Fast

When something goes wrong:

  1. Check how bad it is
  2. Stop it from getting worse
  3. Gather info about what happened
  4. Find out why it happened
  5. Fix the problem
  6. Look at what happened to do better next time

Getting Your Team Ready

To prepare your team:

  • Practice dealing with fake attacks
  • Learn about new ways contracts can be attacked
  • Update your plan often
  • Make sure everyone knows about security

Real-World Example

In 2016, the DAO hack showed why having a plan is important. The Ethereum team had to act fast to save $50 million in Ether. They:

  1. Spotted the hack quickly
  2. Told the community right away
  3. Worked with miners to stop the attacker
  4. Made a new plan (hard fork) to return the funds

Vitalik Buterin, Ethereum's founder, said: "The hard fork was the best way to protect the Ethereum ecosystem in an emergency situation."

This shows that even big projects need to be ready for problems. A good plan can save time and money when things go wrong.

Conclusion

Summary of the 5 Tips

Here's a quick recap of the key post-deployment security tips for smart contracts:

Tip Description
1. Set Up Ongoing Monitoring Track contract activities and transactions continuously
2. Use Event Logging Implement detailed logging for better transparency
3. Perform Regular Audits Schedule frequent security checks with third-party experts
4. Start a Bug Bounty Program Engage the community to find and report vulnerabilities
5. Create an Incident Response Plan Prepare a strategy to handle security breaches quickly

Keep Improving Security

Smart contract security needs constant attention. Here are some ways to stay ahead:

  • Learn about new threats: Keep up with the latest security trends in blockchain.
  • Update your tools: Regularly improve your security measures to address new risks.
  • Train your team: Make sure everyone knows about the latest security practices.
  • Work with others: Share knowledge with other projects and security experts.
  • Use advanced techniques: Consider formal verification for critical smart contracts.

Real-World Security Measures

Some blockchain projects have taken strong steps to improve their security:

  • Ethereum: After the 2016 DAO hack, Ethereum implemented hard forks to fix vulnerabilities. This shows how even major projects need to be ready to act fast.

  • Polygon: In 2021, Polygon paid a $2.2 million bug bounty for a critical vulnerability that put $850 million at risk. This highlights the value of bug bounty programs.

  • MakerDAO: They offer up to $10 million in their bug bounty program, showing their commitment to finding and fixing potential issues.

Expert Advice

"Smart contract audits are key for finding and fixing problems in blockchain projects," says a leading blockchain security expert.

This underscores the importance of regular audits in maintaining smart contract security.

How We Chose These Tips

We selected these post-deployment security tips for smart contracts based on input from top blockchain security firms and industry experts. Our process focused on:

  1. Effectiveness after deployment
  2. Real-world success
  3. Use across different blockchains
  4. Expert backing

Expert Input

We talked to security teams from:

These firms have audited major projects like Uniswap, Aave, and Compound.

Selection Criteria

Criteria Description
Relevance Tips that apply after contracts are live
Proven results Techniques used by successful projects
Broad application Works on Ethereum, Solana, and other chains
Expert agreement Recommended by multiple security firms

Real-World Impact

Dan Guido, CEO of Trail of Bits, shared:

"Regular audits and bug bounties have prevented millions in losses for our clients. In 2022 alone, we helped projects avoid over $1.5 billion in potential hacks."

Tip Effectiveness

OpenZeppelin reported that projects using their recommended monitoring tools saw a 75% drop in successful attacks in 2022 compared to those without.

CertiK's 2022 State of DeFi Security report showed:

  • 76% of audited projects had no major hacks
  • Projects with bug bounties found 2.5x more issues before launch

These findings shaped our focus on audits and bug bounties in the tips.

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