An analysis by Web3 firm De.Fi shows that nearly 75% of the top tokens by volume feature governance risk factors.
A bulk of the largest tokens by volume face significant governance risks, failing to follow best practices to prevent exploits and other security threats.
According to an analysis from Web3 firm De.Fi, of the 429 tokens with governance frameworks, nearly 75% have risk factors associated with their contracts, including hidden owners and wallets with special permissions.
Only 16.6% of the analyzed contracts are managed by multisig wallets, which require up to five different private keys to approve any transaction. The application is seen as a tool for reducing phishing and malware-based hacking risks, notes the firm’s report.