Cryptocurrency hackers stole $313.86 million in digital assets in more than 10 cyberattacks in August, raising doubts about the broader acceptance of the asset class.
According to blockchain security firm PeckShield, phishing attacks alone accounted for 93.5% of all stolen crypto funds, resulting in a loss of $293.4 million.
Out of the top five hacks in August, two phishing attacks drained $238 million of Bitcoin (BTC) and $55.4 million worth of Dai (DAI).
Crypto hackers stole 3.86 million worth of digital assets in August. Source: PeckShield
Other significant losses include the Ronin Network exploit, which recovered $12 million from the hacker but suffered unauthorized crypto transactions worth $5.1 million. Decentralized finance protocol Nexera also suffered a loss of $1.83 million via a smart contract exploit.
Losses due to cyberattacks continue to be an area of concern
According to an Immunefi report released on Aug. 29, the crypto industry has seen $1.21 billion worth of digital assets lost to hacks and rug pulls year-to-date (YTD) as of August 2024.
Related: Unizen hacker transfers $2.1M stolen funds to Tornado Cash
In July, India’s WazirX crypto exchange was a victim of one of the largest cyberattacks of 2024. WazirX lost $234.9 million of funds from one of its multisig wallets. The exchange is currently in the process of implementing a phased plan to restore its financial operations. WazirX’s restructuring efforts include pursuing legal proceedings in Singapore.
Source: WazirX
Ethical hackers unite to protect industry
To protect the cryptocurrency industry from financial losses due to hacks, a team of ethical hackers has formed an elite unit to bolster defenses and prevent breaches. The anti-hack response team, Security Alliance or SEAL, is led by white hat hacker and Paradigm researcher Samczsun and has received over 900 hack-related tickets since it launched in August 2023.
According to an Aug. 22 Immunefi report, nearly 80% of cryptocurrencies never recover their value after a hack or exploit. This loss in value often inflicts more damage on projects than the exploit itself.