#FactCheck - Viral Graphic Falsely Attributes Statement on UGC to CM Yogi Adityanath

What are Decentralised Autonomous Organizations (DAOs)?

A Decentralised Autonomous Organisation or a DAO, is a unique take on democracy on the blockchain. It is a set of rules encoded into a self-executing contract (also known as a smart contract) that operates autonomously on a blockchain system. A DAO imitates a traditional company, although, in its more literal sense, it is a contractually created entity. In theory, DAOs have no centralised authority in making decisions for the system; it is a communally run system whereby all decisions (be it for internal governance or for the development of the blockchain system) are voted upon by the community members. DAOs are primarily characterised by a decentralised form of operation, where there is no one entity, group or individual running the system. They are self-sustaining entities, having their own currency, economy and even governance, that do not depend on a group of individuals to operate. Blockchain systems, especially DAOs are characterised by pure autonomy created to evade external coercion or manipulation from sovereign powers. DAOs follow a mutually created, agreed set of rules created by the community, that dictates all actions, activities, and participation in the system’s governance. There may also be provisions that regulate the decision-making power of the community.

Ethereum’s DAO’s White Paper described DAO as “The first implementation of a [DAO Entity] code to automate organisational governance and decision making.” Can be used by individuals working together collaboratively outside of a traditional corporate form.  It can also be used by a registered corporate entity to automate formal governance rules contained in corporate bylaws or imposed by law.”  The referred white paper proposes an entity that would use smart contracts to solve governance issues inherent in traditional corporations.  DAOs attempt to redesign corporate governance with blockchain such that contractual terms are “formalised, automated and enforced using software.”

Cybersecurity threats under DAOs

While DAOs offer increased transparency and efficiency, they are not immune to cybersecurity threats. Cybersecurity risks in DAO, primarily in governance, stem from vulnerabilities in the underlying blockchain technology and the DAO's smart contracts. Smart contract exploits, code vulnerabilities, and weaknesses in the underlying blockchain protocol can be exploited by malicious actors, leading to unauthorised access, fund manipulations, or disruptions in the governance process. Additionally, DAOs may face challenges related to phishing attacks, where individuals are tricked into revealing sensitive information, such as private keys, compromising the integrity of the governance structure. As DAOs continue to evolve, addressing and mitigating cybersecurity threats is crucial to ensuring the trust and reliability of decentralised governance mechanisms.

Centralisation/Concentration of Power

DAOs today actively try to leverage on-chain governance, where any governance votes or transactions are directly taken on the blockchain. But such governance is often plutocratic in nature, where the wealthy hold influences, rather than democracies, since those who possess the requisite number of tokens are only allowed to vote and each token staked implies that many numbers of votes emerge from the same individual. This concentration of power in the hands of “whales” often creates disadvantages for the newer entrants into the system who may have an in-depth background but lack the funds to cast a vote. Voting, presently in the blockchain sphere, lacks the requisite concept of “one man, one vote” which is critical in democratic societies.

Smart contract vulnerabilities and external threats

Smart contracts, self-executing pieces of code on a blockchain, are integral to decentralised applications and platforms. Despite their potential, smart contracts are susceptible to various vulnerabilities such as coding errors, where mistakes in the code can lead to funds being locked or released erroneously. Some of them have been mentioned as follows;

Smart Contracts are most prone to re-entrance attacks whereby an untrusted external code is allowed to be executed in a smart contract. This scenario occurs when a smart contract invokes an external contract, and the external contract subsequently re-invokes the initial contract. This sequence of events can lead to an infinite loop, and a reentrancy attack is a tactic exploiting this vulnerability in a smart contract. It enables an attacker to repeatedly invoke a function within the contract, potentially creating an endless loop and gaining unauthorised access to funds.

Additionally, smart contracts are also prone to oracle problems. Oracles refer to third-party services or mechanisms that provide smart contracts with real-world data. Since smart contracts on blockchain networks operate in a decentralised, isolated environment, they do not have direct access to external information, such as market prices, weather conditions, or sports scores. Oracles bridge this gap by acting as intermediaries, fetching and delivering off-chain data to smart contracts, enabling them to execute based on real-world conditions. The oracle problem within blockchain pertains to the difficulty of securely incorporating external data into smart contracts. The reliability of external data poses a potential vulnerability, as oracles may be manipulated or provide inaccurate information. This challenge jeopardises the credibility of blockchain applications that rely on precise and timely external data.

Sybil Attack: A Sybil attack involves a single node managing multiple active fake identities, known as Sybil identities, concurrently within a peer-to-peer network. The objective of such an attack is to weaken the authority or influence within a trustworthy system by acquiring the majority of control in the network. The fake identities are utilised to establish and exert this influence. A successful Sybil attack allows threat actors to perform unauthorised actions in the system.

Distributed Denial of Service Attacks: A Distributed Denial of Service (DDoS) attack is a malicious attempt to disrupt the regular functioning of a network, service, or website by overwhelming it with a flood of traffic. In a typical DDoS attack, multiple compromised computers or devices, often part of a botnet (a network of infected machines controlled by a single entity), are used to generate a massive volume of requests or data traffic. The targeted system becomes unable to respond to legitimate user requests due to the excessive traffic, leading to a denial of service.

Conclusion

Decentralised Autonomous Organisations (DAOs) represent a pioneering approach to governance on the blockchain, relying on smart contracts and community-driven decision-making. Despite their potential for increased transparency and efficiency, DAOs are not immune to cybersecurity threats. Vulnerabilities in smart contracts, such as reentrancy attacks and oracle problems, pose significant risks, and the concentration of voting power among wealthy token holders raises concerns about democratic principles. As DAOs continue to evolve, addressing these challenges is essential to ensuring the resilience and trustworthiness of decentralised governance mechanisms. Efforts to enhance security measures, promote inclusivity, and refine governance models will be crucial in establishing DAOs as robust and reliable entities in the broader landscape of blockchain technology.

References:

‍https://www.imperva.com/learn/application-security/sybil-attack/

‍https://www.tripwire.com/state-of-security/blockchain-security-understanding-vulnerabilities-and-mitigating-risks

‍https://medium.com/@RedStone_Finance/the-oracle-problem-and-its-implications-for-blockchains-c0c0ad9cf5a7

‍https://www.linkedin.com/posts/satish-kulkarni-bb96193_what-are-cybersecurity-risk-to-dao-and-how-activity-7048286955645677568-B3pV/ https://www.geeksforgeeks.org/what-is-ddosdistributed-denial-of-service/ Report of Investigation Pursuant to Section 21 (a) of the Securities Exchange Act of 1934: The DAO, Securities and Exchange Board, Release No. 81207/ July 25, 2017

‍https://www.sec.gov/litigation/investreport/34-81207.pdf https://www.legalserviceindia.com/legal/article-10921-blockchain-based-decentralized-autonomous-organizations-daos-.html

Executive Summary

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A viral social media post featuring a picture of former Chief Election Commissioner Achal Kumar Jyoti claims he served as the chairman of the company manufacturing EVM microchips and altered EVM settings at the behest of PM Modi. According to a research done by CyberPeace's research wing, the claim that former Chief Election Commissioner Achal Kumar Jyoti was the chairman of an EVM chip manufacturing company and altered EVMs at the behest of PM Modi is completely false. 

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Claim 

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Social media posts circulated statements claiming: "PM Modi ordered EVM tampering; the company manufacturing EVM memory chips confessed. Will the SC take note, cancel all elections from 2014 to 2019, and send Modi to life imprisonment?"

https://x.com/RatnakarGedam/status/2090639442411470936?s=20 

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Fact-Check

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Relevant keyword searches yield no credible news reports, official statements, or legal documentation supporting claims that Achal Kumar Jyoti tampered with EVMs or issued any such confession. Achal Kumar Jyoti served as the Chief Election Commissioner of India from July 6, 2017, to January 22, 2018. Prior to this, he was a 1975-batch IAS officer of the Gujarat cadre who served in various administrative roles, including Chief Secretary of Gujarat.

https://www.eci.gov.in/former-cec-ec?utm_source 

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According to official information, Electronic Voting Machines (EVMs) used in Indian elections are manufactured exclusively by two Public Sector Undertakings (PSUs): Bharat Electronics Limited (BEL) and Electronics Corporation of India Limited (ECIL). Official records confirm that Achal Kumar Jyoti was never appointed as the Chairman or Director of BEL, ECIL, or any entity manufacturing microchips for EVMs.

https://www.eci.gov.in/evm-faqs/?utm_source

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Conclusion

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The claim that former Chief Election Commissioner Achal Kumar Jyoti headed an EVM chip manufacturing company and tampered with voting machines is completely fabricated and baseless.

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Introduction

When a tragedy strikes, moments are fragile, people are vulnerable, emotions run high, and every second is important. In such critical situations, information becomes as crucial as food, water, shelter, and medication. As soon as any information is received, it often leads to stampedes and chaos. Alongside the tragedy, whether natural or man-made, emerges another threat: misinformation. People, desperate for answers, cling to whatever they can find.

Tragedies can take many forms. These may include natural disasters, mass accidents, terrorist activities, or other emergencies. During the 2023 earthquakes in Turkey, misinformation spread on social media claiming that the Yarseli Dam had cracked and was about to burst. People believed it and began migrating from the area. Panic followed, and search and rescue teams stopped operations in that zone. Precious hours were lost. Later, it was confirmed to be a rumour. By then, the damage was already done.

Similarly, after the recent plane crash in Ahmedabad, India, numerous rumours and WhatsApp messages spread rapidly. One message claimed to contain the investigation report on the crash of Air India flight AI-171. It was later called out by PIB and declared fake.

These examples show how misinformation can take control of already painful moments. During emergencies, when emotions are intense and fear is widespread, false information spreads faster and hits harder. Some people share it unknowingly, while others do so to gain attention or push a certain agenda. But for those already in distress, the effect is often the same. It brings ore confusion, heightens anxiety, and adds to their suffering.

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Understanding Disasters and the Role of Media in Crisis

Disaster can be defined as a natural or human-caused situation that causes a transformation from a usual life of society into a crisis that is far beyond its existing response capacity. It can have minimal or maximum effects, from mere disruption in daily life practices to as adverse as inability to meet basic requirements of life like food, water and shelter. Hence, the disaster is not just a sudden event. It becomes a disaster when it overwhelms a community’s ability to cope with it. 

To cope with such situations, there is an organised approach called Disaster Management.  It includes preventive measures, minimising damages and helping communities recover. Earlier, public institutions like governments used to be the main actors in disaster management, but today, with every small entity having a role, academic institutions, media outlets and even ordinary people are involved. 

Communication is an important element in disaster management. It saves lives when done correctly. People who are vulnerable need to know what’s happening, what they should do and where to seek help.  It involves risk in today’s instantaneous communication. 

Research shows that the media often fails to focus on disaster preparedness. For example, studies found that during the 2019 Istanbul earthquake, the media focused more on dramatic scenes than on educating people. Similar trends were seen during the 2023 Turkey earthquakes. Rather than helping people prepare or stay calm, much of the media coverage amplified fear and sensationalised suffering. This shows a shift from preventive, helpful reporting to reactive, emotional storytelling. In doing so, the media sometimes fails in its duty to support resilience and worse, can become a channel for spreading misinformation during already traumatic events. However, fighting misinformation is not just someone’s liability. It is penalised in the official disaster management strategy. Section 54 of the Disaster Management Act, 2005 mentions that "Whoever makes or circulates a false alarm or warning as to disaster or its severity or magnitude, leading to panic, shall, on conviction, be punishable with imprisonment which may extend to one year or with a fine."

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AI as a Tool in Countering Misinformation 

AI has emerged as a powerful mechanism to fight against misinformation. AI technologies like Natural Language Processing (NLP) and Machine Learning (ML) are effective in spotting and classifying misinformation with up to 97% accuracy. AI flags unverified content, leading to a 24% decrease in shares and 7% drop in likes on platforms like TikTok.  Up to 95% fewer people view content on Facebook when fact-checking labels are used. Facebook AI also eliminates 86% of graphic violence, 96% of adult nudity, 98.5% of fake accounts and 99.5% of content related to terrorism. These tools help rebuild public trust in addition to limiting the dissemination of harmful content. In 2023, support for tech companies acting to combat misinformation rose to 65%, indicating a positive change in public expectations and awareness.

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How to Counter Misinformation

Experts should step up in such situations. Social media has allowed many so-called experts to spread fake information without any real knowledge, research, or qualification. In such conditions, real experts such as authorities, doctors, scientists, public health officials, researchers, etc., need to take charge. They can directly address the myths and false claims and stop misinformation before it spreads further and reduce confusion. 

Responsible journalism is crucial during crises. In times of panic, people look at the media for guidance. Hence, it is important to fact-check every detail before publishing. Reporting that is based on unclear tips, social media posts, or rumours can cause major harm by inciting mistrust, fear, or even dangerous behaviour. Cross-checking information, depending on reliable sources and promptly fixing errors are all components of responsible journalism. Protecting the public is more important than merely disseminating the news.

Focus on accuracy rather than speed. News spreads in a blink in today's world. Media outlets and influencers often come under pressure to publish it first.  But in tragic situations like natural disasters and disease outbreaks, rushing to come first is not as important as accuracy is, as a single piece of misinformation can spark mass-scale panic and can slow down emergency efforts and lead people to make rash decisions. Taking a little more time to check the facts ensures that the information being shared is helpful, not harmful. Accuracy may save numerous lives during tragedies. 

Misinformation spreads quickly it can only be prevented if people learn to critically evaluate what they hear and see. This entails being able to spot biased or deceptive headlines, cross-check claims and identify reliable sources.  Digital literacy is of utmost importance; it makes people less susceptible to fear-based rumours, conspiracy theories and hoaxes. 

Disaster preparedness programs should include awareness about the risks of spreading unverified information. Communities, schools and media platforms must educate people on how to respond responsibly during emergencies by staying calm, checking facts and sharing only credible updates. Spreading fake alerts or panic-inducing messages during a crisis is not only dangerous, but it can also have legal consequences. Public communication must focus on promoting trust, calm and clarity. When people understand the weight their words can carry during a crisis, they become part of the solution, not the problem.

References: 

1. https://dergipark.org.tr/en/download/article-file/3556152 
2. https://www.dhs.gov/sites/default/files/publications/SMWG_Countering-False-Info-Social-Media-Disasters-Emergencies_Mar2018-508.pdf 
3. https://english.mathrubhumi.com/news/india/fake-whatsapp-message-air-india-crash-pib-fact-check-fcwmvuyc ‍
4. https://www.dhs.gov/sites/default/files/publications/SMWG_Countering-False-Info-Social-Media-Disasters-Emergencies_Mar2018-508.pdf