In 2024, Ethereum has taken the lead as the most affected blockchain in terms of hacking incidents, according to a recent study conducted by Smart Betting Guide. The study reported a total of 33 hacking incidents on the Ethereum network. Following Ethereum, BNB Chain has also been impacted significantly, with 14 reported incidents. Other blockchain platforms such as Arbitrum and Solana have experienced 6 incidents each, while Bitcoin only saw two hacking incidents. The Decentralized Finance (DeFi) sector stands out as the most vulnerable to these attacks, with all reported incidents this year originating in this sector.
The top 10 largest losses due to hacks in 2024 are as follows:
– Orbit Bridge: $81,680,000
– Munchables: $62,800,000
– PlayDapp: $32,350,000
– FixedFloat: $26,100,000
– GMEE: $15,000,000
– WOOFi: $8,750,000
– Coinspaid: $7,500,000
– Abracadabra Money: $6,500,000
– Seneca: $6,500,000
– Gamma Strategies: $6,200,000
In total, crypto users have faced losses exceeding $437 million due to scams and hacks in 2024. Fraudulent activities, including rug pulls, have also contributed to these losses, although to a lesser extent, amounting to $14 million. Despite the significant losses, a recent CertiK report indicates a decline in crypto theft during March. Malicious actors stole around $79 million from DeFi projects in March, marking a 48% decrease from the $160 million stolen in February.
One of the major hacking incidents in March involved a MakerDAO-based smart contract deployed by Curio on Ethereum, resulting in an estimated loss of $40 million. Prisma Finance also suffered a significant loss of $12.4 million in a flash loan attack. The attacker, claiming to be a white-hat hacker, initially promised to return the stolen funds during an online conference. However, the situation changed, and the team members were asked to disclose their identities and issue an apology.
Security breaches extend beyond the DeFi sector, with platforms like NFPrompt, backed by Binance, experiencing a cyber intrusion leading to funds misappropriation of $10 million. The decentralized exchange WooFi also reported losses of approximately $8.5 million following a hacking incident. To enhance security in the crypto space, Smart Betting Guide recommends keeping passwords and seed phrases off cloud storage to prevent theft by hackers. Using a hardware wallet, similar to a USB drive, for cold storage of private keys is also advised for added protection.
In addition to cold storage and hardware wallets, users can implement other security measures to safeguard their crypto assets. These measures include avoiding clicking on links in suspicious emails, enabling Two-Factor Authentication (2FA) for logins, and steering clear of online pop-ups or links. It is essential to exercise caution regarding messages promising quick financial gains, as they often stem from fraudulent accounts participating in social media scams. By remaining vigilant and implementing robust security practices, crypto users can reduce the risk of falling victim to hacking incidents.
