In the second quarter of 2024, there was a total loss of $572.7 million in cryptocurrencies. 70% of these losses were caused by attacks on central financial platforms. 📉 This means a 70.3% increase compared to the previous quarter and a 112% increase compared to the same period in 2023. Since the beginning of the year, more than $900 million has been lost due to such illegal activities.
The biggest losses occurred when Japanese cryptocurrency trading platform DMM Bitcoin lost $305 million and Turkish crypto exchange BtcTurk lost $55 million on June 23. These events accounted for 62.8% of the total losses.
Centralized finance platforms have become major targets due to their management of large asset pools and security weaknesses. As these platforms gain value, the value of Web3 protocols like Ethereum (ETH) attracts hackers looking for easy money.
Cheats accounted for 98.5% of total losses. Fraud and fraud accounted for only 1.5%. Ethereum and BNB Chain were the most targeted networks.
DeFi platforms have increased security measures in response to regulatory scrutiny, but CeFi assets are still vulnerable to cyber attacks.
In total, only 5% of the stolen funds, $26.7 million, were recovered in four specific cases.