- Crypto hacks, frauds total doubled in second quarter over year earlier.
- Second quarter saw more than $572 million stolen.
- Funds recovery to date is about 5%.
Crypto losses to hacks and rug-pulls in the second quarter doubled compared to the same period last year, according to security platform Immunefi.
Losses totalled almost $573 million in the second quarter, mostly to hacks, while $8.4 million was lost to frauds, the report said.
That aligns with data from DefiLlama that suggest crypto projects have lost some $664.3 million to hacks and exploits this year.
Most of the total was lost by two projects: DMM Bitcoin, a Japanese crypto exchange, suffered an attack that resulted in $305 million lost, and BtcTurk, Turkey’s biggest cryptocurrency exchange, incurred a loss of $55 million.
The two major exploits accounted for 63% of all second-quarter losses.
The total second-quarter loss represents a 112% increase over the same period last year, when hackers and fraudsters stole $265.4 million.
There is almost $100 billion in capital locked across web3 protocols as of June, which presents an attractive opportunity for blackhat hackers, Immunefi noted.
Hacks continued to be the predominant cause of losses at 98.5%, in comparison with fraud, which accounted for only 1.5% of the total.
Funds recovery for the second quarter was slightly more effective than in the year-earlier period, as to date about 5% of stolen funds have been recovered, compared with 3.9% in Q2 last year.
Funds recovery
So far, $26.7 million of stolen funds has been recovered.
The two most targeted chains in the second quarter were Ethereum and BNB Chain.
Ethereum suffered the most individual attacks with 34 incidents representing 46.6% of the total losses.
BNB Chain suffered 18 incidents representing 24.7% of the total.
Crypto market movers
- Bitcoin is up 1.40% today at $61,485.
- Ethereum is up 2.47% today at $3,450.
What we’re reading
- Kraken Co-Founder Jesse Powell Makes $1M Crypto Donation To Trump — Milk Road
- Crypto Unmentioned at First 2024 U.S. Presidential Debate — CoinDesk
- VanEck files for Solana ETF — and it says SOL is a commodity — DL News
- The U.S. and Germany just sold off almost 5,000 Bitcoins—they should have added them to foreign reserves — Fortune
- Coinbase Takes Legal Action Against SEC And FDIC — Milk Road
Mike Millard is DL News’ Weekend Editor. Got at tip? Email him at mike@dlnews.com.
