Security is an increasing part of the crypto space, especially in the world today, where malicious actors have a variety of ways to gain unauthorized access to funds. One of the major chinks in most users’ armor is permissions.
Many users unknowingly give out too many permissions to platforms they barely use. This gets even worse, because users can sometimes do the same for malicious apps.
Once these permissions are granted, they can stick around long after they’re needed. Therefore, your wallet remains exposed to unnecessary risk. Let’s take a look at what token permissions are and how you can stay safe by revoking them regularly.
What Are Token Permissions?
When you connect your crypto wallet (like MetaMask) to a dApp (this could be a decentralized exchange or a lending platform, mind you). You’re typically asked to approve a transaction.
This “approval” isn’t just about agreeing to a swap or deposit. Instead, you’re also giving that dApp permission to access your tokens (sometimes these permissions are unlimited). This process happens through smart contracts, which need your permission to transfer your tokens in transactions like trading, staking, borrowing or lending.
Here’s the catch though. You need to manually revoke these permissions later, and until you do, they remain active. This means that even if you’re done using the dApp, it could still access your tokens.
In any scenario where the dApp gets hacked (or was even malicious from the start), your funds are at risk. Granting token permissions is like giving the plumber the keys to your house, to fix a sink. When this task is done, you need to retrieve the keys. If you don’t, nothing much stops the plumber from returning, say at night, and running off with your valuables.
Why Revoking Permissions Matters
Granting token access is a serious part of using decentralized platforms. However, holding on to old approvals is like leaving your keys with the aforementioned plumber. Asides from the legitimate Dapps that “might” get hacked at some point, other dApps are built from the start, with bad intentions.
If you approve token access requests from these dapps, they might not only drain your wallet, they can also do so over time, in a way that might be unnoticeable to the victim. This is without mentioning how hackers can find bugs in smart contracts and use your existing permissions against you.
Scammers often set up fake dApps that look legitimate, with the hopes that someone fails to check URLs, approves permissions and unknowingly grants them access to their funds. Many users also connect to dozens of platforms over time, with each of these connections increasing the risk of getting hacked, twofold. Revoking permissions limits how much control others have over your assets. Think of it as a small “inconvenience” that can make a huge difference.
How to Revoke Token Permissions
Revoking token permissions is easier than you might think, and there are two main ways to do it:
1. Using Block Explorers/Wallets
Block explorers are tools that let you view activity on a blockchain. Many of them now include features that allow you to see and manage token approvals. Here’s how to use them on different networks: For Ethereum, visit Etherscan at https://www.etherscan.io/tokenapprovalchecker
Enter your wallet address or connect your wallet directly, and you’ll see a list of all the tokens you’ve approved.
Click “Revoke” next to any unwanted permission, and confirm the transaction in your wallet (remember that a small gas fee applies). The same process applies to the Binance Smart Chain, and Polygonscan, considering how both resources are similar to Ethereumscan.
Solana-based permissions can be revoked directly within your wallet, like Phantom for example. Head over to the settings section by clickling on your profile icon as shown:
Open settings and scroll down to find “connected apps”. Open that, and revoke permissions for Dapps you no longer use.
These platforms are direct and safe, as they interface directly with public blockchain data.
2. Using Revocation Tools
If you want a more straightforward experience across multiple networks, revocation tools are your best bet. To use tools like Revoke.cash, head over to https://revoke.cash/ and connect your wallet.
Choose the blockchain you want to inspect (Ethereum, BSC, Avalanche, etc.) and then allow the site to scan your wallet. You should see a list of token permissions. Click “Revoke” on any approval you no longer need and sign the transaction in your wallet (you’ll pay a gas fee).
Other platforms include Unrekt.app, which is similar to Revoke.cash, but with a more visual interface These platforms help you to clean up your token permissions without having to hop between multiple block explorers.
Best Practices to Stay Safe
Revoking old permissions is a great first step. However, if you want to go the extra mile with your crypto security, here are some best practices to follow:
1. Grant Minimal Access
When approving a transaction, some dApps ask for unlimited access to a token. Don’t allow that unless absolutely necessary. If possible, set the approval amount to just what you need. Some wallets like MetaMask, let you customize token allowances. Be sure to use that feature to limit risk.
2. Use Separate Wallets
Keep high-value tokens in a “cold” wallet (like a hardware wallet) and interact with dApps only through a “hot” wallet that holds smaller amounts. That way, even if something goes wrong, your main assets stay untouched.
3. Be Selective with dApps
Before using a new dApp, check if it’s been audited and what the crypto community says about it. Sites like DeFiLlama and DappRadar can are great for tasks like these.
4. Review Permissions Regularly
Make a habit out of checking token approvals once a month, especially if you’re active in DeFi, NFT trading, yield farming or any similar task. Most revocation tools make this a quick task.
5. Watch for Red Flags
If a dApp asks for permission to access unrelated tokens (like an NFT platform asking for stablecoin access) don’t approve it. That’s often a sign of a scam at worst or poor development at best.
6. Stay Informed
Security in Web3 is changing very quickly. Try and follow trusted crypto news sources and influencers who focus on wallet safety, DeFi risks and smart contract audits.
You Are the First Line of Defense
There is no central bank to call when something goes wrong within your wallet as a crypto user. You are in charge of your assets, a fact that and that’s is both empowering and risky.
Token permissions are a part of wallet management that is often overlooked. However, they can make or break your security and by understanding how these permissions work, you reduce the chances of being drained by some smart contract on a random blockchain. This said, don’t wait until you’re a victim. Set a reminder to review your permissions, and keep your wallet secure.
