Hackers Growing Smarter, But Japanese Crypto Exchanges Say They’re Fighting Back #hackers
bitFlyer executive says hackers use advanced AI tools and LOTL attacks to target staff and networks
Crypto exchanges’ past security woes are well documented. But in 20204, they continue everywhere, with multi-million dollar hacks now a seemingly regular occurrence. #CryptoNewsCommunity
Last month, Chainalysis reported a drop in overall illicit crypto transactions. But it also noted that this year has already seen a 2.8% rise in hacking attacks. #attack
By the midpoint of this year, the cumulative value of stolen cryptocurrencies had hit the $1.58 billion mark. That represents an 84% increase compared to the same period in 2023.
Crypto Exchanges: A Top Target for Hackers?
For hackers, exchanges represent the biggest prize in the crypto world. In many cases, millions of USD worth of transactions pass through their platforms every day.
Arguably nowhere on earth has felt the pain of hacks quite as acutely as Japan. The Mt. Gox hack of 2011, and the platform’s eventual collapse in 2014 were crippling blows.
And a potential coup de grace followed in early 2018, with the Coincheck hack – then the biggest hack in crypto industry history.
These security breaches rocked the confidence of Japanese investors, once some of the most crypto-keen people on earth.
Earlier this month, a top Japanese exchange chief noted that yen-Bitcoin trades made up 50% of the global BTC market in 2017-2018.
Japan’s presence has since dwindled to a “small” and “fading” percentage of the global market share.
Surely, the only antidote to Japanese crypto crises will be proving that the sector’s security worries are a thing of the past. So how are exchanges hoping to do this?
Japan is considering a change to its crypto tax code, potentially lowering it to align with other financial assets.
Big Challenges for Japanese Platforms.
