Expert insights on Web3 security, smart contract vulnerabilities, and the latest in blockchain DevSecOps

On January 12, 2026, YO Protocol's Automated Harvesting System executed a catastrophic swap that turned $3.84 million worth of stablecoins into just $112,000—a 97% loss in a single transaction. The incident, reported by blockchain security firm BlockSec, stemmed from an incorrect estimated output value that nullified slippage protection, combined with routing through a high-fee, low-liquidity pool. YO Protocol has now published a detailed post-mortem acknowledging that safeguards designed for large trades were not consistently applied across all automated systems.

The largest crypto theft in history—$1.5 billion from Bybit—wasn't a smart contract bug. It was a supply chain attack on wallet infrastructure. This single incident encapsulates the seismic shift in blockchain security heading into 2026: the threat landscape has evolved beyond Solidity vulnerabilities to target the entire operational stack, and enterprises processing significant transaction volume must adapt or face catastrophic losses.

As Rust-based blockchain platforms like Solana continue to gain traction in 2025, understanding common security vulnerabilities has become critical for developers building decentralized applications. While Rust's memory safety guarantees eliminate entire classes of bugs, smart contract development introduces unique challenges that can lead to severe exploits. In this comprehensive guide, we'll explore the most prevalent Rust smart contract vulnerabilities discovered in 2024-2025, complete with vulnerable code examples and their fixes.