MakerDAO, the Decentralized Autonomous Organization (DAO) which created the DAI stablecoin, has revealed that a critical security update was made in its governance contract.
DAO made the announcement in a Reddit thread, stating that in the second round of security audits in which DAO participated alongside with crypto exchange Coinbase and smart contract security startup Zeppelin, a critical vulnerability was found in the governance smart contract. A critical vulnerability notice was also issued by Zeppelin independently.
The Reddit post read:
“In partnership with Coinbase and Zeppelin, the Maker Foundation has been participating in a second round of audits of the Maker Voting Contract. During this process, we discovered the need to make a critical update.”
To post also stated that holders are not in danger of losing their MKR tokens which are staked in the MakerDAO Governance Voting Contract, but they were advised to move them out of the old contract and back to personal wallets. Those that do not own of one of the ~190 addresses that have staked MKR in the current voting contract were not advised to take any action.
“If you have not participated in the voting portal with your MKR, no action is required.”
A link to a website specially created to help users with staked tokens was also made available in order to provide instructions on how to transfer the tokens out of the old voting smart contract. The website also features chat assistance for those that are still confused regarding the procedure. The announcement also stated that:
“This does NOT impact the security or stability of the MKR token, it is only relevant to those who are using the old voting contract.”
DAO ends its post by promising that it will soon release “a full debrief and detailed outline of the changes” that will be updated in the smart contract.
According to last week reports, MakerDAO has allegedly stabilized its DAI stablecoin by increasing the fee after it was facing issues in trying to keep its value on par with that of the U.S. dollar.