The cryptocurrency industry lost nearly $4 billion worth of digital assets last year to hacks, frauds, scams and rug-pulling, a drop of more than 50% compared to the more than $8 billion stolen in 2021.
according to recent report good The crypto space is projected to lose $3,9 billion in 2022, with five major exploits alone accounting for $2,361,000,000, 59.8% of all losses in the year, by Immunofy, a bug bounty and security services platform for the Web3 ecosystem.
Among various forms of illegal activities, hackers accounted for the bulk majority of crypto losses in 2022. More specifically, the hackers stole over $3. 7 billion, or over 95% of all crypto lost in the year. Fraud, scams and rug-pulling accounted for only 4.4% of the total losses. Added to report:
“In 2022, DeFi continues to be the main target of successful exploits at 80.5% compared to CeFi at 19.5% of total losses. DeFi is projected to lose $3,180,023,103 in total losses in 2022 across 155 events. This number represents an increase of 56.2%. represents. Compared to 2021, when DeFi lost $2,036,015,896 in 107 events.”
Overall, 2022 can be considered as one of the worst years for the crypto ecosystem as many Decentralized Finance (DeFi) and Centralized Finance (CeFi) platforms experienced major catastrophic events. In more notable examples, Terra/Luna ecosystem explodes While major crypto exchanges in May FTX collapsed in early November,
Binance’s native blockchain BNB Chain and Ethereum were the two most targeted blockchains last year with 65 and 49 incidents respectively. Together, the BNB chain and Ethereum represented more than half of blockchain attacks at 63.3%. FTX-backed Solana was the third most targeted chain with 12 incidents, or 6.7% of total attacks in 2022.
Significantly, last year a part of the looted money was also recovered. “In total, $204,157,000 of stolen funds have been recovered in the 12 specific instances. This number represents just 5.2% of total losses in 2022,” the report said.
Hack of AXI Infinity’s Ronin Blockchain Which made hackers the biggest crypto hack of 2022 with roughly $625 million worth of Ethereum and USDC, followed by Wormhole at $326 million, Nomad at $190 million, BNB Chain at $570 million and FTX at $650 million – accounting for the total loss. 60% share. In 2022.
Immunefy CEO Micheal Amador said the loss is a reminder that the Web3 space needs better security practices. he said:
“Looking at the losses suffered by the community in 2022 is a reminder of the importance of prioritizing security and implementing strong and consistent measures going forward in 2023. By proactively identifying and addressing vulnerabilities, we can help the community avoid damage and build confidence in the area.”
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