Security, Threat Model, and Key Management

Security is paramount in zkOceanLevel. Our multi-layered approach combines cryptographic guarantees, economic incentives, and operational best practices to protect the network and its participants.

Security Principles

Defense in Depth

Multiple security layers ensure that a single point of failure doesn't compromise the entire system.

Cryptographic Guarantees

ZK-STARK proofs provide mathematical certainty of computational integrity without trusted parties.

Economic Security

Token-based slashing mechanisms ensure validators have strong financial incentives for honest behavior.

Threat Model

Malicious Validators

Threat: Validators submitting invalid proofs or attempting to manipulate state.

Mitigation: ZK-STARK proofs are cryptographically verified on-chain. Invalid proofs are rejected, and malicious validators face token slashing. Economic penalties exceed potential gains from attacks.

Collusion Attacks

Threat: Multiple validators coordinating to manipulate the network or censor transactions.

Mitigation: Distributed aggregator selection with randomness prevents predictable collusion. Economic penalties scale with the number of colluding parties, making large-scale coordination prohibitively expensive.

Sybil Attacks

Threat: Single entity creating multiple validator identities to gain disproportionate influence.

Mitigation: Token lock requirements create economic barriers to Sybil attacks. Each validator identity requires significant capital commitment, making mass identity creation economically infeasible.

Smart Contract Vulnerabilities

Threat: Bugs or exploits in on-chain programs leading to fund loss or state corruption.

Mitigation: Comprehensive testing, formal verification where possible, external security audits, and gradual rollout with upgrade mechanisms. Bug bounty program incentivizes responsible disclosure.

Data Availability Attacks

Threat: Provers withholding data needed to verify or reconstruct state.

Mitigation: Data availability sampling and redundant storage across multiple nodes. Provers must commit to data availability before rewards are distributed.

Key Management

Validator Keys

Validators manage multiple key types for different purposes:

  • Hot keys: Used for routine operations like proof submission. Stored in secure enclaves with limited permissions.
  • Warm keys: Used for validator registration and configuration changes. Stored offline with multi-sig protection.
  • Cold keys: Control token locks and withdrawals. Stored in hardware wallets or air-gapped systems.

Key Rotation

Regular key rotation policies minimize exposure from compromised keys. Hot keys rotate frequently (weekly), warm keys quarterly, and cold keys annually or on-demand. Rotation is automated where possible with manual verification for cold keys.

Multi-Signature Schemes

Critical operations require multi-signature approval. Protocol upgrades need 3-of-5 signatures from governance keys. Large token movements require 2-of-3 signatures from designated cold keys.

Security Best Practices

  • •Regular audits: Third-party security audits before major releases and annually for production systems.
  • •Bug bounty program: Incentivize responsible disclosure with rewards scaled to severity.
  • •Incident response plan: Documented procedures for security incidents with clear escalation paths.
  • •Monitoring and alerting: Real-time detection of anomalous behavior with automated responses.
  • •Gradual rollout: New features deployed to testnet first, then limited mainnet rollout before full deployment.