• Tue. Feb 27th, 2024

2023: Crypto Industry Faces $500M Hack Loss

Avatar photo

ByMarcel Bich

Aug 22, 2023
2023: Crypto Industry Faces $500M Hack Loss
Marcel Bich
Latest posts by Marcel Bich (see all)

Data from experts at PeckShield shows that the crypto sector saw at least 395 attacks between January and June 2023, costing an estimated $479.4 million in financial losses.

The losses in the crypto sphere have nearly quadrupled from the same time in 2022. To date, 79% ($378.3 million) of the total stolen funds were lost in the ten biggest thefts.

DeFi protocol ($197 million) and Atomic Wallet, a decentralized wallet, were the loss leaders with a significant gap. The worst month was really April, when $203.3 million was stolen by criminals.

DeFi Hacks: $414M Stolen, Ethereum and BNB Most Vulnerable

In the first half of 2023, 98% of cases involving DeFi protocols ($414 million) were successful. A loss of $287 million resulted from the majority of these assaults, which targeted Ethereum network projects. The primary causes of the attacks were privilege acquisition (14%), oracle manipulation (15%), and code defects (46%). Flash credits were utilized by 76% more hackers.

White-hat hackers helped the crypto sector recover $226.2 million of the total amount of money stolen.

Since 2012, hackers’ efforts have cost the crypto sector a total of more than $30 billion. At the same time, centralized exchanges were the victim of thefts totaling $10.95 billion, or more than 30% of this sum. Furthermore, during the course of 11 years, 118 attacks have been reported against crypto exchanges. Nearly $5 billion of the overall damages were caused by the two biggest exploits, which happened in 2021. 

Hacks most commonly hit Ethereum and BNB Chain. Hackers made around $3.1 billion from 217 attacks on the Ethereum ecosystem. BNB Chain lost $1.45 billion as a result of 162 exploits.

 
Avatar photo

Marcel Bich

Marcel ‘s passion for the world of cryptocurrencies and his comprehensive knowledge of blockchain technology make him an invaluable asset to our team. He stays updated on the latest trends, regulations, and emerging technologies in the crypto space, ensuring that our audience receives accurate and up-to-date information.