Zero Knowledge Protocol To Defend DeFi From Sybil Attacks
WHAT IS A SYBIL ATTACK?
A Sybil attack is when an attacker creates multiple fake identities, or wallet addresses, to manipulate a network or protocol. This can be done for a variety of reasons, such as to gain an unfair advantage, or to disrupt the normal functioning of a system. A Sybil attacker uses their fake identities to gain influence over the network which can have serious consequences such as unfair distribution of rewards.
Sybil attacks are widespread in DeFi particularly for:
Whitelistings & Token Generation Events
HOW DOES SYBIL PROTOCOL WORK?
SybilDAO solves the problem of mass sybil attacks in DeFi in a streamlined way that is simple for blockchain developers to implement and has a great UX for end users.
This frontend web page uses a number of anti-fraud protections to prevent sybil attacks and bot authentications. These include the following:-
Cloudflare BOT protection
Client side analysis
Transactional cost + gas fee
ML Risk Analysis (TBC)
Once the captcha has been completed the frontend provides a one time authorization code to the clients web browser. This authorization code is part of a zero knowledge proof within our smart contract
The user can then sign a transaction which charges a small fee + transaction cost in the native currency for that chain. This will pass the authorization code (ZK–Proof) to the smart contract which registers the wallet address as a permanently verified address.
HOW TO INTEGRATE?
3rd party DeFi protocols can look up on-chain verified addresses from within their smart contract and get a true/false boolean response. Here is a simple smart contract interface to check if a wallet address has been verified.
This code renders a 320px x 500px iframe like the one below
Whitelisted addresses are immutable and verifiable from any smart contract, these can be used across various DeFi partner promotions and campaigns.
SybilDAO adds value through exposure to our community. Once someone is verified they are part of the Sybil Network and can participate in any SybilDAO partner promotions without reverifying. There is potential for SybilDAO to build a large audience which will hold value in itself.
Partners are provided promotional exposure via:-
Partnership and promotion announcements on website
Social media channels - Twitter & Discord primarily
Video content on YouTube, TikTok & Instagram
SybilDAO can also offer pre-built promotional campaigns such as sybil attack resistant NFT drops where a partner just needs to provide an image for the NFT.
By partnering with SybilDAO, DeFi teams get a win/win situation where we can grow our communities together through a valuable service that protects against bot networks.
BizDev team can outreach to DeFi founders to sell cross-promotional activities even if their core protocol has no requirement for sybil resistance. This provides a large potential customer base with an optimizable sales funnel.
✤ THE SYB TOKEN
SYB is the governance token for the SybilDAO. The draft tokenomics are as follows:-
The initial distribution is as follows:-
The remaining 50,000,000 SYB vested:-
Private funding round will be via SAFT and then distributed according to vesting period.
When a user completes the transaction to verify their wallet a fee is added to the transaction/gas. 100% of fees generated by the protocol are distributed back to stakers of the SYB token on Ethereum mainnet. Fees from layer 2's are bridged back and added to the pool on mainnet. Fee revenues for staked SYB are claimable in ETH #RealYield
The treasury fund allocation of SYB tokens is in a restricted wallet that can never be sold or transferred. This guarantees that a minimum of 50% of the fees initially and 33% after the vesting period will always go to the treasury to ensure continued financing for the project.
In due course the Sybil Protocol will reach a tipping point where it becomes the default tool for preventing sybil attacks in DeFi.
Note this is an Ethereum Goerli Testnet airdrop (instructions here) but... Spoiler Alert we may be doing something for our early adopter community on mainnet in due course.
Follow us on Twitter & join the Discord community to ensure eligibility.
To date 2 attackers have broken our bot protection systems to claim the bounty
Bounty paid 0.255 ETH ($300 USD) attacker managed to gain around 50k SYB tokens in 48hrs, bypassed Cloudflare and hCaptcha protection, submitted the code for the bot and has been very helpful. Thank you
Bounty paid 0.25 ($300 USD) attacker gained 100k SYB tokens, submitted the code for a python based bot. Thank you
Amount in wallet
Staking locks SYB tokens for a 3 month period in exchange for a share of protocol fees paid in ETH