A Token Approval Is Permission, Not a Payment
An ERC-20 approval does not move tokens immediately. It authorizes a spender to withdraw up to the amount you approve, potentially across multiple transfers; a dApp contract often uses this to operate on your behalf.
That makes both the spender address and allowance important. If the approved amount is larger than the action requires, a later contract compromise could put more tokens within reach. Review the approval before signing and clear allowances you no longer need. What do you check first: the spender, the amount, or both?
Source: Ethereum ERC-20 specification: https://eips.ethereum.org/EIPS/eip-20
Market watch:
#CryptoEducation #DeFiSafety #Web3
An ERC-20 approval does not move tokens immediately. It authorizes a spender to withdraw up to the amount you approve, potentially across multiple transfers; a dApp contract often uses this to operate on your behalf.
That makes both the spender address and allowance important. If the approved amount is larger than the action requires, a later contract compromise could put more tokens within reach. Review the approval before signing and clear allowances you no longer need. What do you check first: the spender, the amount, or both?
Source: Ethereum ERC-20 specification: https://eips.ethereum.org/EIPS/eip-20
Market watch:
#CryptoEducation #DeFiSafety #Web3