Devs Find ‚Horrible‘ Flaws in Societe Generale Euro Stablecoin

Summary of the Article

  • Crypto developers have exposed flaws in Societe Generale’s euro Stablecoin, EURCV.
  • These flaws include that the bank could take and burn all of its users’ money through certain functions in its smart contract.
  • The code requires every single ERC20 transfer to first be approved by the centralized registrar in a separate ETH transaction before it can be processed.

Societe Generale’s Euro Stablecoin Flaws Exposed By Crypto Developers

Crypto developers have recently uncovered ‘absolutely horrible’ flaws in the smart contract code of Societe Generale’s (SG) euro stablecoin, EURCV. On April 20, SG said the EURCV would be limited to investors onboarded by Societe Generale group through its existing compliance procedures.

Flaws Discovered By Crypto Developers

Software engineer Cygaar discovered that the bank could take and burn all of its users’ money through certain functions in its smart contract. Cygaar added that “SG was much better off using Onyx (JPM’s internal system) or some internal db since they’re looking for a centralized settlement layer.” Another developer, 0xfoobar noted that the code requires every single ERC20 transfer to first be approved by the centralized registrar in a separate ETH transaction before it can be processed. Pseudonymous smart contract engineer alephv.eth also highlighted this issue.

Brazil Investigating Binance Over Illegal Derivatives Offerings

In other news, Brazil is reportedly investigating cryptocurrency exchange Binance over potential illegal derivatives offerings on its platform. According to local media outlet Portal do Bitcoin, Brazilian regulators are concerned about whether Binance has been offering contracts for difference (CFDs), which are currently illegal under Brazilian law due to their high risk nature and lack of transparency when trading them.

Fed Governor Highlights Benefits and Risks Of Tokenization And Smart Contracts


In addition, Federal Reserve Governor Lael Brainard discussed tokenization and smart contracts at an event hosted by Harvard Law School on April 21st. She outlined both the benefits and risks associated with tokenization technology such as cost savings from improved efficiency as well as heightened risks from cyberattacks or fraud if not properly regulated. Brainard concluded her remarks stating there is “great potential for blockchain-based digital payments systems to become more widely used for retail payments.“

Trezor Confirms Refusing Coinjoin UTXOs To Protect Privacy Of Others


Separately, hardware wallet company Trezor announced that it will no longer offer support for coinjoin transactions due to privacy concerns raised by their customers. Trezor explained that while they agree with coinjoin’s mission of protecting privacy rights, they felt obligated to protect their customers‘ privacy rights against any external parties who may attempt to use unconfirmed coinjoins transactions against them in court proceedings or similar disputes involving crypto assets . They added that it was „a difficult decision“ but ultimately decided denying access was necessary given current state regulations surrounding cryptocurrencies