How To Stay Ahead of 99% of Bug Bounty Hunters

Imagine a task so complicated that only 1% of the people can solve it. That's what being a bounty hunter in crypto space feels like. Basically, you are searching for bugs in a space where even the smallest mistake can result in millions of $$$ being stolen or lost. It is like finding a needle in a haystack - except, this haystack is constantly evolving and growing with new protocols. Of course, the harder the conquest, the greater the rewards.  

But what if I told you can stay ahead of 99% of the bug bounty hunters? That's right. It is possible to become #1 in the game by just realizing that bug detection is much more than just a technical skill. You need to think both like the developer and THE ATTACKER.  

In today's article, we will guide you on exactly how you can build a rock-solid foundation in hunting for bugs so that 99% of bug bounty hunters fear you!  

Let's get started:  

Master the Fundamentals of Blockchain Security

The first step is to master your basic blockchain concepts. You can start with the blockchain consensus mechanism as it lays the foundation of its architecture. The most common consensus mechanisms include:

1. Proof of Work (PoW): Proof of work requires miners to solve complex mathematical puzzles in order to validate transactions. This makes the process highly secure but slow and energy intensive.  
2. Proof of Stake (PoS): Proof of Stake selects validators based on the number of tokens they stake and hence offers more energy-efficient and faster transactions.
3. Delegated Proof of Stake (DPoS): DPoS is very similar to PoS except for the fact that it works with a select group of validators. This is because attack vectors usually involve governance manipulation among delegates.    
4. Byzantine Fault Tolerance (BFT): BFT is aimed at tolerating malicious or faulty nodes. The focus is to ensure consensus is reached despite some faulty nodes acting against the network.

Having a deeper understanding of these mechanisms can help you identify where vulnerabilities might emerge and thus, you can anticipate the nature of attacks when bug bounty hunting.  

Study Common Vulnerabilities in the Blockchain

As bug bounty hunters, you also need to be familiar with historic vulnerabilities that have impacted the blockchain in past. Some popular types include:

Sybil Attacks:  

These attacks occur when a single attacker creates multiple fake identities or nodes on a blockchain network to create a disproportionate influence, thus compromising the integrity of consensus mechanisms. What makes it most dangerous is the fact that decisions rely on nodes being honest and if a significant number of nodes is compromised, it can flood the network, carry out eclipse attacks, and even manipulate voting.

Double-Spending Attacks:  

These attacks occur when an attacker attempts to use the same token for multiple transactions. The problem is that it undermines trust in the blockchains immutability and can cause a significant financial loss.

The 51% Attack:

Exactly what it sounds like, 51% attack happens when one entity gains hashing or staking power of more than 50% of a blockchain network, thus coming in power to manipulate the blockchain ledger. Attackers can also block new transactions, reverse transactions, and disrupt the consensus.

These are just some of the attacks. You will need to get yourself acquainted with all of them before you try to compete in any new bug bounty programs!

Get Comfortable with Smart Contract Auditing

In the blockchain world, one tiny bug can lead to catastrophic results, so get very comfortable with smart contract auditing if you want to become the #1 in game of bug bounty hunting.  

Be The Go-to Coder:  

It goes without saying that there will be a lot of coding involved. While blockchain also uses Python and JavaScript, you'll need to master Solidityand Vyper in particular.

Why, you ask?  

Well, Solidity is one of the most widely used languages among EVM-compatible blockchains. Within Solidity, focus on key concepts such as gas optimization, fallback functions, reentrancy guards, and access control.

Vyper, on the other hand, is a more Pythonic alternative to Solidity which focuses on auditability. The problem with Vyper, however, is that it comes with limited features which reduce complexity but also doesn't leave much wiggle room for bounty hunters to work with.

Auditing Tools and Techniques:

Once you have become proficient in coding, the next step is to gain mastery on some auditing tools and techniques. Some of the tools you absolutely need are MythX, Slither, Manticore, and Mythril. Each one of these tools detects security issues and helps spot vulnerability spots.  

Manual Auditing:

Please remember that automated tools and techniques will only take you so far. You'll need to gain expertise in manual auditing through techniques such as line-by-line analysis, data flow analysis, event logging, and even function call mapping.

Ok, but all bug bounty hunters know this. right? Here's the bonus point for you: work on access control auditing.

What is Access Control Auditing?

Access control auditing specifically covers the part of reviewing and analyzing the permissions and roles that are managed on a smart contract.  

Permission Functions: Since access control is typically enforced through permission and ownership functions, you need to master every single aspect of the OnlyOwner() modifier.  

Design Implementation: Vulnerabilities often arise due to poor design implementation, so you'll also need to study msg.sender and txt.origin functions.  

Authorized Addresses: Look for confirmation that only authorized addresses can call sensitive functions.

Employ Advanced Recon Techniques

To stay ahead of other bug bounty hunters, you'll also need to master advanced reconnaissance techniques that target emerging vulnerabilities.  

Cross-Chain Bridge Analysis:  

Since cross-chain bridges are the main target of hackers, look for flaws in signature verification or improper validation. It is also a great idea to replay attack vectors to analyze how the attacker could/would have targeted the token swaps.

DeFi Protocol Flaws:  

Defi protocols are quite susceptible to attacks so examine how each proposal is submitted and executed. (Bonus tip: Focus specifically on quorum thresholds). You'll need to work on identifying the weaknesses in governance tokenomics and help spot potential exploits.

Build Your Arsenal for Bug Bounty Success  

To dominate this consistently evolving market, you will continuously need to expand your toolkit and stay connected with the defi community while looking out for crypto bug bounty programs.

Develop Custom Tools:  

Any coder worth their salt can master existing coding languages and tools. What will set you apart is your ability to develop custom codes. Write scripts to automate vulnerability scanning or gas profiling. You can even simulate real-world attack scenarios and stress-test smart contracts. By developing your custom tools, you will stand out in new bug bounty programs as a representation of proactive approach.  

Stay Up to Date on Emerging Vulnerabilities:

As the crypto space evolves, your knowledge and learning needs to get updated alongside. Follow blockchain security researchers on GitHub, Medium and Twitter. Join their communities and make sure you have full knowledge of the latest vulnerability disclosures.

Build and Strengthen Your Crypto Network:  

You can't dominate a field without networking. Engage with experts through social media platforms specializing in crypto security. Also, when networking, keep an eye on opportunities like bug bounty programs. For instance, ARMswap has launched Bug Bounty Program which rewards skilled hunters for detecting bugs in the system. Now that's the kind of feather you want in your hat.

Wrapping it Up

Becoming the #1 bug bounty hunter in the crypto space is not child's play. It requires a combination of technical expertise, continuous learning, and strategic thinking. Only, and only, by mastering foundational blockchain concepts, developing custom tools, and networking in the crypto space, can you position yourself ahead of the competition.  

Remember, this isn't just about finding bugs, it is about thinking like the attackers and then surpassing them.