Infrastructure security: why DNS and BGP attacks threaten even well‑secured projects

Explore how DNS hijacking and BGP route leaks can cripple crypto protocols, even those with robust on-chain defenses, and learn what it means for investors in 2025.

• DNS & BGP attacks are a hidden but critical risk to blockchain projects.
• Even well‑secured smart contracts can be shut down by off‑chain infrastructure failures.
• Understanding these threats helps you evaluate the resilience of tokenized real‑world assets.

Introduction

The crypto market has grown to a multi‑trillion‑dollar ecosystem that spans exchanges, wallets, DeFi protocols and RWA platforms. In 2025, regulators are tightening rules on data privacy and cross‑border transactions, while investors demand more transparency and security.

Yet, the most sophisticated on‑chain defenses can be undermined by attacks that target the infrastructure underpinning the internet itself: the Domain Name System (DNS) and the Border Gateway Protocol (BGP). These are the protocols that translate human readable domain names into IP addresses and route traffic across the global backbone.

For a crypto‑intermediate retail investor, this may sound technical, but the impact is tangible. A single DNS cache poisoning attack can redirect users to phishing sites; a BGP hijack can sever access to an entire network of nodes or data feeds. Even projects that have audited code and hardened consensus mechanisms are vulnerable if their off‑chain components fall.

This article explains why DNS and BGP attacks pose a real threat to well‑secured blockchain projects, how they can affect tokenized real‑world assets, and what you should look for when evaluating infrastructure resilience. We’ll also spotlight Eden RWA as an example of an RWA platform that must guard against these risks.

Background: DNS & BGP – the invisible foundations of crypto

The internet relies on two core protocols for connectivity and name resolution:

• DNS (Domain Name System) translates domain names like example.com into IP addresses. It is distributed across thousands of authoritative servers worldwide.
• BGP (Border Gateway Protocol) manages how data packets travel between autonomous systems (AS) on the internet, essentially controlling the routing of traffic.

Because both are essential for any online service—exchanges, wallets, oracle providers—they become attractive targets. Attackers can hijack DNS to redirect users or inject malicious code. BGP attacks can route traffic through malicious ASes, enabling eavesdropping or denial of service.

In the crypto space, these vulnerabilities have manifested in several high‑profile incidents:

• Coinbase and Binance DNS hijacks (2020–2023): attackers spoofed DNS records to redirect users to fraudulent sites, resulting in millions of dollars lost.
• BGP route leaks affecting Chainlink oracles (2024): a misconfigured BGP announcement caused the loss of several key price feeds for DeFi protocols.

How DNS and BGP attacks can cripple even well‑secured projects

Even if your smart contract code is flawless, the following off‑chain dependencies create attack vectors:

1. Node connectivity: Full nodes rely on IP addresses to sync with peers. A BGP hijack can isolate a node or redirect it to a malicious peer.
2. Oracles and data feeds: Many DeFi protocols depend on off‑chain price data. If DNS is poisoned, an oracle provider may deliver manipulated prices.
3. User interfaces and wallets: Web3 dApps use HTTPS to load scripts from CDN or API endpoints. A compromised DNS record can serve malicious code that steals private keys.
4. Exchange infrastructure: Centralised exchanges host order books on servers behind DNS names. Attackers can redirect traffic, causing market manipulation or downtime.

Because these components are often third‑party services (CDNs, cloud providers), they inherit the security posture of those vendors. A single misconfiguration—such as a BGP announcement from an ISP that accidentally advertises your network prefix—can cut off access to your entire node cluster.

Thus, infrastructure security is not just about on‑chain cryptography but also about protecting the digital pathways that carry transactions and data.

Market Impact & Use Cases: RWA platforms in a DNS/BGP world

Tokenised real‑world assets (RWAs) are increasingly popular. They enable fractional ownership of property, bonds, or commodities on the blockchain. However, RWAs depend heavily on reliable data feeds and secure web interfaces for investor interaction.

For instance, a BGP route leak could temporarily block all IP addresses associated with an RWA platform’s API endpoints, preventing investors from accessing their wallets or receiving rental income payouts. Even if the underlying smart contracts remain untouched, users may lose confidence and withdraw funds en masse.

Conversely, well‑planned redundancy—such as using multiple CDN providers, deploying nodes across different ISPs, and monitoring BGP announcements—can mitigate these risks.

Risks, Regulation & Challenges

• Regulatory scrutiny: The SEC’s proposed “Crypto‑Asset Framework” will likely include requirements for secure data feeds. Failure to comply may result in penalties.
• Smart contract vs infrastructure risk: Audits often focus on code; they rarely cover DNS or BGP configurations.
• Custodial trust: If a custodian’s servers are routed through malicious ASes, private keys could be exposed.
• KYC/AML delays: A BGP outage can interrupt identity verification services, delaying compliance checks.

Real‑world example: In July 2024 a major DeFi protocol’s price oracle provider suffered a DNS spoofing attack that temporarily provided inflated gas prices. The resulting arbitrage opportunities cost the protocol millions in lost revenue and caused a temporary halt of user withdrawals.

Outlook & Scenarios for 2025+

Bullish scenario: A global coalition of ISPs implements stricter BGP prefix filtering, reducing route leaks by 80 %. Combined with widespread adoption of DNSSEC (Domain Name System Security Extensions), the average downtime due to infrastructure attacks drops below 0.1 %.

Bearish scenario: Cybercriminals increasingly target small RWA platforms that rely on a single CDN, leading to higher frequency of phishing incidents. Investor confidence erodes, and token prices fall by 30–40 % within six months.

Base case: Over the next two years, most large protocols will adopt multi‑CDN strategies and monitor BGP announcements via services like Hurricane Electric’s BGPmon. However, a small subset of projects—especially those with limited budgets—will remain vulnerable until they scale.

For investors, this means that evaluating an RWA platform should include scrutiny of its infrastructure resilience, not just tokenomics or property quality.

Eden RWA – A concrete example of infrastructure‑aware tokenization

Eden RWA is an investment platform democratizing access to French Caribbean luxury real estate (Saint‑Barthélemy, Saint‑Martin, Guadeloupe, Martinique). It combines blockchain with tangible, yield‑focused assets by issuing ERC‑20 property tokens that represent indirect shares of a dedicated SPV (SCI/SAS) owning carefully selected villas.

• Investors receive periodic rental income in USDC directly to their Ethereum wallet; smart contracts automate the distribution.
• A quarterly, bailiff‑certified draw selects a token holder for a free week in a villa they partially own, adding experiential value.
• Token holders vote on key decisions (renovation, sale, usage) via DAO‑light governance, ensuring aligned interests and transparency.

Eden’s tech stack relies on Ethereum mainnet, auditable smart contracts, wallet integrations (MetaMask, WalletConnect, Ledger), and an in‑house P2P marketplace for primary/secondary exchanges. Dual tokenomics—utility token $EDEN and property‑specific ERC‑20 tokens (e.g., STB‑VILLA‑01)—provide platform incentives while keeping each asset’s governance localized.

Because Eden RWA directly interacts with off‑chain services (web portals, oracle feeds for rental income calculations, CDN-hosted marketing sites), it must adopt robust DNS and BGP safeguards. This includes deploying multiple CDNs, using DNSSEC, monitoring BGP announcements, and maintaining redundant API endpoints across different ISPs.

Interested in exploring Eden RWA’s presale? Visit the official links below for more information:

Eden RWA Presale – Official Site | Direct Presale Access

Practical Takeaways for Investors

• Verify that the platform uses DNSSEC and monitors BGP announcements.
• Check if the project has redundant CDN and node infrastructure across multiple ISPs.
• Ask whether oracle feeds are sourced from multiple independent providers.
• Look for audit reports covering off‑chain dependencies, not just smart contract code.
• Monitor community channels for any reported outages or security incidents related to infrastructure.
• Ensure the platform’s wallet integrations support hardware wallets and multi‑factor authentication.

Mini FAQ

What is DNS hijacking?

DNS hijacking occurs when an attacker redirects domain name queries to malicious IP addresses, enabling phishing or traffic interception.

How can BGP attacks affect DeFi protocols?

BGP route leaks can reroute internet traffic through malicious ASes, potentially isolating nodes or tampering with data feeds used by smart contracts.

Do smart contract audits cover DNS/BGP risks?

Most traditional audits focus on on‑chain code. Comprehensive security reviews should also assess the infrastructure that supports off‑chain services.

Is Eden RWA protected against these attacks?

Eden RWA implements multiple CDNs, DNSSEC, and BGP monitoring to mitigate infrastructure threats, but investors should still review the latest security documentation.

What should I do if a platform experiences an outage due to an infrastructure attack?

Check official announcements for resolution timelines, assess whether the issue was isolated or systemic, and consider diversifying your holdings across multiple resilient platforms.

Conclusion

The resilience of blockchain projects now depends as much on their off‑chain infrastructure as on cryptographic soundness. DNS hijacking and BGP route leaks can disrupt connectivity, compromise data feeds, and erode investor confidence—effects that ripple through tokenised real‑world assets and DeFi protocols alike.

As the market matures in 2025, platforms that proactively secure their infrastructure will stand out. For investors, this means looking beyond tokenomics to assess DNSSEC adoption, BGP monitoring, CDN redundancy, and oracle diversification.

Eden RWA exemplifies how a well‑structured RWA platform can integrate these safeguards while offering fractional ownership of luxury Caribbean real estate. By staying informed about infrastructure risks, you can better protect your investments in an increasingly interconnected digital economy.

Disclaimer

This article is for informational purposes only and does not constitute investment, legal, or tax advice. Always do your own research before making financial decisions.