Smart Contracts Approval Amounts & Signatures help

[dim_mak5]

Hi,

For example connected MetaMask to Revoke Cash security utility, when venturing into established/reputable De-Fi sites like Uniswap via your MetaMask wallet and signing/confirming transactions shown on screen in metamask, why is it by default for every transaction that the approved limit is set to Unlimited/Max and to revoke this it cost gas fees If I do not revoke and do not pay the gas fee to revoke past smart contracts then I am open to smart contract risks/hacks correct?

When transacting on De-Fi sites how do I set by default for the every Approved amount Limit to be auto adjusted to the amounts I want to just deal with? For example if I want to swap $100 USDC into $100 USDT on Uniswap then how do I auto set it to approved limit of $100 only not max/unlimited because in future I might forget about this past swap and lets say for example in future I deposited $1million stablecoins into Metamask and forgot to revoke the unlimited/max amount approval for the past $100 swap I did. Because I forgotten I risk losing $1Million  ?

I don't want to keep on paying gas fees after every de-fi transactions to revoke past no longer needed smart contracts.

If I do not revoke past smart contracts approval amounts then this is still open and can be used for future transactions on the De-Fi site meaning if I do revoke past contracts then I have to pay gas fees again to set up a new smart contract approvals amounts on the same de-fi site like uniswap?

Also what are Signatures in Revoke.Cash?

[tbct_mt2]

why is it by default for every transaction that the approved limit is set to Unlimited/Max and to revoke this it cost gas fees

When you are interact with smart contracts, it's on chain activities and need to pay on chain transaction fee.

More details from a guide of Coinmarketcap can help you more.
How to Revoke Token Approval.
You can try with two other sites for smart contract revoke.
https://etherscan.io/tokenapprovalchecker
https://app.unrekt.net/

[rdluffy]

For example connected MetaMask to Revoke Cash security utility, when venturing into established/reputable De-Fi sites like Uniswap via your MetaMask wallet and signing/confirming transactions shown on screen in metamask, why is it by default for every transaction that the approved limit is set to Unlimited/Max and to revoke this it cost gas fees If I do not revoke and do not pay the gas fee to revoke past smart contracts then I am open to smart contract risks/hacks correct?

My suggestion is that you never set the limit to unlimited, unless you know what you're doing, for example if you're going to make several transactions in a short period of time, want to save fees and then revoke.
If there is an exploit, they can use your approved limit to drain your funds, so you're correct

When transacting on De-Fi sites how do I set by default for the every Approved amount Limit to be auto adjusted to the amounts I want to just deal with? For example if I want to swap $100 USDC into $100 USDT on Uniswap then how do I auto set it to approved limit of $100 only not max/unlimited because in future I might forget about this past swap and lets say for example in future I deposited $1million stablecoins into Metamask and forgot to revoke the unlimited/max amount approval for the past $100 swap I did. Because I forgotten I risk losing $1Million  ?

I don't want to keep on paying gas fees after every de-fi transactions to revoke past no longer needed smart contracts.

If I do not revoke past smart contracts approval amounts then this is still open and can be used for future transactions on the De-Fi site meaning if I do revoke past contracts then I have to pay gas fees again to set up a new smart contract approvals amounts on the same de-fi site like uniswap?

Also what are Signatures in Revoke.Cash?

The site you're operating on sets the suggestion limit, so I don't know if you can just set it to the required value by default.
Here I always adjust it manually when they set it to unlimited
As I said, if you leave the limit at unlimited, as long as the contract exists you will be subject to a hack that could drain your funds. It's not easy, but sometimes it happens
And yes, every time you change the limit, or revoke it, you have to make a transaction and pay the fees for it

There are some networks like Zksync that do something different, where you can just sign to make the transactions, but most operate in the same way



Being practical here, I do a lot of transactions on a regular basis, and the only network I have to manage better is ETH itself, because sometimes it's expensive to keep approving and revoking them
The rest, such as Base, Arb, Op, Polygon etc generally cost 1 cent for the limit and revoke, so I don't even bother

[dim_mak5]

why is it by default for every transaction that the approved limit is set to Unlimited/Max and to revoke this it cost gas fees

When you are interact with smart contracts, it's on chain activities and need to pay on chain transaction fee.

More details from a guide of Coinmarketcap can help you more.
How to Revoke Token Approval.
You can try with two other sites for smart contract revoke.
https://etherscan.io/tokenapprovalchecker
https://app.unrekt.net/

Those sites are like Revoke.Cash site or different? If like Revoke.Cash are they cheaper gas fees than revoke.cash?

So after using established de-fi sites like Uniswap is it good practice to revoke straight away after using uniswap? Regardless how reputable and established a de-fi site like uniswap is, it is instead the smart contract that I should be worried about not the site uniswap because uniswap does not write the smart contracts?

To confirm there's no way to revoke for free, gas fees must be paid for revoking? If so De-Fi is expensive to stay safe and secure using it.

I know what approval amounts are in smart contracts but what are revoke signatures in revoke.cash?

Does it cost gas fee to edit the existing approval amount?

[dim_mak5]

For example connected MetaMask to Revoke Cash security utility, when venturing into established/reputable De-Fi sites like Uniswap via your MetaMask wallet and signing/confirming transactions shown on screen in metamask, why is it by default for every transaction that the approved limit is set to Unlimited/Max and to revoke this it cost gas fees If I do not revoke and do not pay the gas fee to revoke past smart contracts then I am open to smart contract risks/hacks correct?

My suggestion is that you never set the limit to unlimited, unless you know what you're doing, for example if you're going to make several transactions in a short period of time, want to save fees and then revoke.
If there is an exploit, they can use your approved limit to drain your funds, so you're correct

When transacting on De-Fi sites how do I set by default for the every Approved amount Limit to be auto adjusted to the amounts I want to just deal with? For example if I want to swap $100 USDC into $100 USDT on Uniswap then how do I auto set it to approved limit of $100 only not max/unlimited because in future I might forget about this past swap and lets say for example in future I deposited $1million stablecoins into Metamask and forgot to revoke the unlimited/max amount approval for the past $100 swap I did. Because I forgotten I risk losing $1Million  ?

I don't want to keep on paying gas fees after every de-fi transactions to revoke past no longer needed smart contracts.

If I do not revoke past smart contracts approval amounts then this is still open and can be used for future transactions on the De-Fi site meaning if I do revoke past contracts then I have to pay gas fees again to set up a new smart contract approvals amounts on the same de-fi site like uniswap?

Also what are Signatures in Revoke.Cash?

The site you're operating on sets the suggestion limit, so I don't know if you can just set it to the required value by default.
Here I always adjust it manually when they set it to unlimited
As I said, if you leave the limit at unlimited, as long as the contract exists you will be subject to a hack that could drain your funds. It's not easy, but sometimes it happens
And yes, every time you change the limit, or revoke it, you have to make a transaction and pay the fees for it

There are some networks like Zksync that do something different, where you can just sign to make the transactions, but most operate in the same way



Being practical here, I do a lot of transactions on a regular basis, and the only network I have to manage better is ETH itself, because sometimes it's expensive to keep approving and revoking them
The rest, such as Base, Arb, Op, Polygon etc generally cost 1 cent for the limit and revoke, so I don't even bother

Okay you suggest leave at unlimited/max if you plan on doing several transactions in a short amount of time then revoke to save on revoke gas fees?

Do you manually set the approval amount after completing the transaction or before the transaction and if before how you manually set it in metamask and what limit in $dollars should I set it to, for example if its $100 usdt on tron uniswap into $100 usdc on arbitrum then do I just approval to simply $100 or do I have to set it higher to cover network overheads and gas fees?

There are no approval amounts in Zksync just sign the displayed amount?

In Revoke.Cash site utility I see on its Signatures page Tokens with Permit Support and I can cancel potential signatures for each token. What does this mean and if I cancel what will happen to my tokens in my wallet? Signatures require no gas fees right so if I cancel signature there should be no gas fees for cancelling right?

[rdluffy]

Okay you suggest leave at unlimited/max if you plan on doing several transactions in a short amount of time then revoke to save on revoke gas fees?

Yes, but only if you know what you're doing and use a reliable service, like Uniswap for example

Do you manually set the approval amount after completing the transaction or before the transaction and if before how you manually set it in metamask and what limit in $dollars should I set it to, for example if its $100 usdt on tron uniswap into $100 usdc on arbitrum then do I just approval to simply $100 or do I have to set it higher to cover network overheads and gas fees?

You have to approve the limit before the transaction
You can approve the limit you will use at the time, most services already set the correct limit, so if you're going to use 100 dollars, just approve the 100 dollars

Take a look here


You just need to set the limit you want where's Unlimited

In Revoke.Cash site utility I see on its Signatures page Tokens with Permit Support and I can cancel potential signatures for each token. What does this mean and if I cancel what will happen to my tokens in my wallet? Signatures require no gas fees right so if I cancel signature there should be no gas fees for cancelling right?

To revoke these signatures, you will have to spend gas fees
Nothing will happen to the tokens in your wallet, they will remain there

[dim_mak5]

Okay you suggest leave at unlimited/max if you plan on doing several transactions in a short amount of time then revoke to save on revoke gas fees?

Yes, but only if you know what you're doing and use a reliable service, like Uniswap for example

Do you manually set the approval amount after completing the transaction or before the transaction and if before how you manually set it in metamask and what limit in $dollars should I set it to, for example if its $100 usdt on tron uniswap into $100 usdc on arbitrum then do I just approval to simply $100 or do I have to set it higher to cover network overheads and gas fees?

You have to approve the limit before the transaction
You can approve the limit you will use at the time, most services already set the correct limit, so if you're going to use 100 dollars, just approve the 100 dollars

Take a look here


You just need to set the limit you want where's Unlimited

In Revoke.Cash site utility I see on its Signatures page Tokens with Permit Support and I can cancel potential signatures for each token. What does this mean and if I cancel what will happen to my tokens in my wallet? Signatures require no gas fees right so if I cancel signature there should be no gas fees for cancelling right?

To revoke these signatures, you will have to spend gas fees
Nothing will happen to the tokens in your wallet, they will remain there

Alright just to clarify it is a best security/safety practice to revoking Uniswap's smart contracts and smart signatures after finishing using Uniswap even though Uniswap is reliable and established?

Okay in your screenshot, to confirm it is okay to set for example to exact 100 and the transaction wont fail because there was no extra overhead in the 100 input? Most de-fi sites use the default max/unlimited value, which de-fi sites you speak of that set to correct value for you automatically?

Apart from unlimited/max value setting, is there any other setting in the metamask transaction screens that I need to be aware of? How do I prevent future signatures attaching to my coins after the transaction has completed.

De-Fi in its current state is a definitely a no go zone for beginners with security/safety issues like these and if Gas fees is required all the time to be safe and secure in De-Fi then I cannot see De-Fi growing unless the bare minimum necessity such as safety and security is present and free especially when it comes to finances. It is similar to getting a car without brakes/seatbelts and paying extra for these services. If De-Fi is truly decentralized like Bitcoin then I guess it is worth paying gas fees I guess.

[rdluffy]

Alright just to clarify it is a best security/safety practice to revoking Uniswap's smart contracts and smart signatures after finishing using Uniswap even though Uniswap is reliable and established?

Okay in your screenshot, to confirm it is okay to set for example to exact 100 and the transaction wont fail because there was no extra overhead in the 100 input? Most de-fi sites use the default max/unlimited value, which de-fi sites you speak of that set to correct value for you automatically?

Apart from unlimited/max value setting, is there any other setting in the metamask transaction screens that I need to be aware of? How do I prevent future signatures attaching to my coins after the transaction has completed.

De-Fi in its current state is a definitely a no go zone for beginners with security/safety issues like these and if Gas fees is required all the time to be safe and secure in De-Fi then I cannot see De-Fi growing unless the bare minimum necessity such as safety and security is present and free especially when it comes to finances. It is similar to getting a car without brakes/seatbelts and paying extra for these services. If De-Fi is truly decentralized like Bitcoin then I guess it is worth paying gas fees I guess.

I'll try to summarize as much as possible so as not to complicate things for you, I've noticed that you still have a lot of doubts

--> When using DeFi or any other type of transaction, only approve the limit you're going to use, it's that simple
Then you don't need to revoke anything
--> If the contract defaults to unlimited approval, simply change it to the amount you're using at the time

As you're just starting out, keep it simple and you'll learn more in the process
What I said in the previous post about saving fees by setting it to unlimited and then revoking it, etc., you'll learn over time and with practice


What are you going to do? Are you going to do swaps? stakes? liquidity pools?

[dim_mak5]

Alright just to clarify it is a best security/safety practice to revoking Uniswap's smart contracts and smart signatures after finishing using Uniswap even though Uniswap is reliable and established?

Okay in your screenshot, to confirm it is okay to set for example to exact 100 and the transaction wont fail because there was no extra overhead in the 100 input? Most de-fi sites use the default max/unlimited value, which de-fi sites you speak of that set to correct value for you automatically?

Apart from unlimited/max value setting, is there any other setting in the metamask transaction screens that I need to be aware of? How do I prevent future signatures attaching to my coins after the transaction has completed.

De-Fi in its current state is a definitely a no go zone for beginners with security/safety issues like these and if Gas fees is required all the time to be safe and secure in De-Fi then I cannot see De-Fi growing unless the bare minimum necessity such as safety and security is present and free especially when it comes to finances. It is similar to getting a car without brakes/seatbelts and paying extra for these services. If De-Fi is truly decentralized like Bitcoin then I guess it is worth paying gas fees I guess.

I'll try to summarize as much as possible so as not to complicate things for you, I've noticed that you still have a lot of doubts

--> When using DeFi or any other type of transaction, only approve the limit you're going to use, it's that simple
Then you don't need to revoke anything
--> If the contract defaults to unlimited approval, simply change it to the amount you're using at the time


As you're just starting out, keep it simple and you'll learn more in the process
What I said in the previous post about saving fees by setting it to unlimited and then revoking it, etc., you'll learn over time and with practice


What are you going to do? Are you going to do swaps? stakes? liquidity pools?

Mostly swaps, might venture into staking and liquidity pools. Liquidity pools is lending/borrowing in de-fi right?

Ok can further clarify the following:

- Example 1, I change the default max/unlimited value to 100 value so I do not have to spend gas fees in future to revoke this. The worse case scenario that can happen in future if I do not revoke this 100 value contract is max I can lose is $100 from a hack not a $million from my wallet address, basically I lose $100 from a $million if I do not revoke?

- You mentioned If the contract defaults to unlimited approval, is this still possible after I set the value with the 100 example I gave above, my 100 input value defaults back to max/unlimited again?

- Who decided in the De-Fi world that the default input value should be set to unlimited/max and why? Who programmed this value? It is like for example banks giving their customers unlimited/max no withdrawal limits at ATM cash machines meaning if a thief has access to the debit card and there's a $million in the a account then the thief can empty all the cash from the cash machine and go onto the next cash machine and empty out and so on until balance goes to $0. It is an absolutely insane idea whoever thought of that max/unlimited input default value in de-fi. I hope there is a update to MetaMask wallet to auto adjust the default value for you for all de-fi transactions and if there is no incentive to do this then who is truly running De-Fi? Scammers/Hackers? Or they do this on purpose to collect more gas fees in de-fi from revokes.

- I understand theres smart contract in de-fi that involves on-chain meaning gas fees to use the chain however Smart Signatures are supposedly off-chain meaning no gas fees so why it costs gas fees to Revoke a Smart Signature 

[rdluffy]

Mostly swaps, might venture into staking and liquidity pools. Liquidity pools is lending/borrowing in de-fi right?

Sorry for the delay, I forgot to revisit this topic

Liquidity pool is different from lend/borrow
Liquidity pool you provide liquidity in 2 different coin for those who swap between these 2 coins

Lend/borrow you offer some currency to borrow some.
For example, you lend BTC to borrow USDT

- Example 1, I change the default max/unlimited value to 100 value so I do not have to spend gas fees in future to revoke this. The worse case scenario that can happen in future if I do not revoke this 100 value contract is max I can lose is $100 from a hack not a $million from my wallet address, basically I lose $100 from a $million if I do not revoke?

Exactly, you got it right
In this case only 100 dollars would be at risk

- You mentioned If the contract defaults to unlimited approval, is this still possible after I set the value with the 100 example I gave above, my 100 input value defaults back to max/unlimited again?

If you set a limit of 100, you'll make a tx and this transaction will only be on the 100
In a future transaction with the same contract you need to set it again to the desired value

- Who decided in the De-Fi world that the default input value should be set to unlimited/max and why? Who programmed this value? It is like for example banks giving their customers unlimited/max no withdrawal limits at ATM cash machines meaning if a thief has access to the debit card and there's a $million in the a account then the thief can empty all the cash from the cash machine and go onto the next cash machine and empty out and so on until balance goes to $0. It is an absolutely insane idea whoever thought of that max/unlimited input default value in de-fi. I hope there is a update to MetaMask wallet to auto adjust the default value for you for all de-fi transactions and if there is no incentive to do this then who is truly running De-Fi? Scammers/Hackers? Or they do this on purpose to collect more gas fees in de-fi from revokes.

I think they leave it at unlimited to save on fees
Some networks are cheaper, but you have to remember that transactions on the ETH network can be very expensive, and a simple transaction to approve a limit can cost several dollars, for example, making it expensive to make many transactions.

- I understand theres smart contract in de-fi that involves on-chain meaning gas fees to use the chain however Smart Signatures are supposedly off-chain meaning no gas fees so why it costs gas fees to Revoke a Smart Signature 

I can't explain this part exactly, but to revoke through revoke.cash you have to make the transaction

[dim_mak5]

Mostly swaps, might venture into staking and liquidity pools. Liquidity pools is lending/borrowing in de-fi right?

Sorry for the delay, I forgot to revisit this topic

Liquidity pool is different from lend/borrow
Liquidity pool you provide liquidity in 2 different coin for those who swap between these 2 coins

Lend/borrow you offer some currency to borrow some.
For example, you lend BTC to borrow USDT

- Example 1, I change the default max/unlimited value to 100 value so I do not have to spend gas fees in future to revoke this. The worse case scenario that can happen in future if I do not revoke this 100 value contract is max I can lose is $100 from a hack not a $million from my wallet address, basically I lose $100 from a $million if I do not revoke?

Exactly, you got it right
In this case only 100 dollars would be at risk

- You mentioned If the contract defaults to unlimited approval, is this still possible after I set the value with the 100 example I gave above, my 100 input value defaults back to max/unlimited again?

If you set a limit of 100, you'll make a tx and this transaction will only be on the 100
In a future transaction with the same contract you need to set it again to the desired value

- Who decided in the De-Fi world that the default input value should be set to unlimited/max and why? Who programmed this value? It is like for example banks giving their customers unlimited/max no withdrawal limits at ATM cash machines meaning if a thief has access to the debit card and there's a $million in the a account then the thief can empty all the cash from the cash machine and go onto the next cash machine and empty out and so on until balance goes to $0. It is an absolutely insane idea whoever thought of that max/unlimited input default value in de-fi. I hope there is a update to MetaMask wallet to auto adjust the default value for you for all de-fi transactions and if there is no incentive to do this then who is truly running De-Fi? Scammers/Hackers? Or they do this on purpose to collect more gas fees in de-fi from revokes.

I think they leave it at unlimited to save on fees
Some networks are cheaper, but you have to remember that transactions on the ETH network can be very expensive, and a simple transaction to approve a limit can cost several dollars, for example, making it expensive to make many transactions.

- I understand theres smart contract in de-fi that involves on-chain meaning gas fees to use the chain however Smart Signatures are supposedly off-chain meaning no gas fees so why it costs gas fees to Revoke a Smart Signature  

I can't explain this part exactly, but to revoke through revoke.cash you have to make the transaction

Alright to confirm for liquidity pools I have to provide 2 coins not just 1? Example USDT/USDC trading pair, I have to provide both of them at the same amount each not just for 1?

So in De-Fi which is the least risky way of earning the most highest passive % annual income?

Can I lend $100 USDT for bitcoin collateral and how much bitcoin LTV collateral will I get? If the borrower has $100 dollars worth of bitcoin and wants to borrow $100 of USDT then why don't the borrower just sell his bitcoin instead of getting a $100 USDT loan?

In De-Fi the borrower can default lets say a million times however there's no credit history/reports/rating of the borrower in de-fi so the borrower credit history cannot be checked on de-fi or is it bad/backlisted borrowers do not exist in de-fi because smart contracts saves the lender automatically from losses from defaults?

In a future transaction with the same contract you need to set it again to the desired value

Can you give examples of same contracts for better understanding. I thought all transaction in de-fi are new transactions requiring a new smart contract each right because you always get prompts on screen from your wallet to sign/approve this and that. Or is it sites like uniswap use existing smart contracts signed by metamask in the past for new de-fi transactions?

I think they leave it at unlimited to save on fees

To confirm if I change the value from unlimited/max to 100, I have to pay gas fees again to change this value each time I transact in de-fi and if this applies to ETH then there's no escaping expensive gas fees?

Layer 2 network fees like Polygon, Arbitrum and such are much cheaper however Ethereum main chain is the strongest de-fi chain out there for that network security assurance. For example would you hold $million of USDC on the main ETH chain or on layer 2 polygon chain? What happens if for example Polygon network gets weak with its token market cap crashing in value or gets hacked because of network weakness, will the issuer of USDC Circle accept legal responsibility of this or will they say sorry you lost a $million on polygon however polygon is out of our control and we only endorse official Ethereum because we Circle use Ethereum as our backbone for our business operations, hence we cannot compensate for your losses sorry? I'm sure they must have this writing in their small print somewhere.

[dim_mak5]

Hello bump please advise.