Integer Overflow Risk

Definition ∞ Integer Overflow Risk is a software vulnerability that occurs when a numerical calculation produces a result larger than the maximum value a data type can store. In smart contracts and blockchain applications, this can lead to incorrect balances, unexpected logic execution, or the unauthorized creation of tokens. This risk poses a significant security threat, potentially allowing malicious actors to exploit the system for financial gain. It represents a critical programming flaw that can compromise digital asset integrity.
Context ∞ Integer overflow risk is a recurring and serious topic in news reports about smart contract exploits, blockchain security audits, and decentralized finance (DeFi) hacks. Developers and security researchers constantly work to identify and mitigate these vulnerabilities in code. Any report detailing a loss of funds due to a smart contract bug often highlights integer overflow as a potential cause, underscoring its importance for digital asset safety.