Cryptocurrency Scam Losses Reach $1.5B: Ethereum, Bitcoin, and XRP in the Spotlight
The cryptocurrency space has seen a surge in major hacks in the first half of 2024, with Ethereum (ETH), Bitcoin (BTC), and XRP leading the losses, totaling over $1.5 billion. This year alone, there have been more than 200 significant incidents resulting in approximately $1.56 billion in losses.
Data from Peck Shield Alert reveals that only $319 million of the lost crypto funds have been recovered. The losses in 2024 represent a significant 293% increase compared to the same period in 2023 when losses amounted to $480 million.
DeFi protocols have been the primary targets for hackers, constituting 59% of the total stolen value. During this period, over 20 public chains experienced major hacks, with Ethereum, Bitcoin, and XRP being the top cryptocurrencies in terms of losses due to crypto hacks.
Ethereum and BNB Chain were the most frequently targeted, each representing 31.3% of the total hacks, followed by Arbitrum with 12.5% of the attacks. A notable incident occurred on June 3, 2024, when DMM Bitcoin reported a breach where 4,502.9 BTC, valued at over $300 million, was stolen, highlighting vulnerabilities within exchanges.
On June 10, UwU Lend, a DeFi lending protocol, suffered a compromise resulting in a loss of approximately $19.3 million in digital assets. This incident underscores the risks associated with DeFi platforms that operate with less regulatory oversight.
Earlier in the year, Chris Larsen, co-founder of Ripple, confirmed a security breach involving his personal wallets, not Ripple’s corporate assets. The hackers transferred 213 million XRP tokens, valued at about $112.5 million. Exchange platforms collaborated to freeze a significant portion of the stolen funds to mitigate the impact.
On April 2, 2024, FixedFloat, a Bitcoin Lightning-based exchange, experienced a security breach leading to financial losses exceeding $3 million. This incident highlighted ongoing security challenges for FixedFloat, following a similar breach earlier in the year.
The cryptocurrency space continues to face significant security threats, with hackers targeting various platforms and protocols, emphasizing the importance of robust security measures and vigilance within the industry.
