In the second quarter of 2023, the crypto sphere experienced a 65.3% year-on-year increase in the total number of cyber attacks, according to a new report from web3-focused bug bounty platform Immunefi, via The Block. This uptick underscores the growing interest in crypto and decentralized finance (DeFi) and the urgent need for effective countermeasures.
The Paradox Of Increased Attacks And Decreased Losses
It’s worth noting that despite increased attacks, the report revealed a significant drop of 60.4% in total losses compared to the same period in 2022. The losses amounted to about $265.5 million in Q2, contributing to over $702 million in losses year-to-date.
The attack orchestrated by the Lazarus Group, a cybercrime organization linked to North Korea, against the non-custodial Atomic Wallet and an exit scam at the erstwhile blockchain finance platform, Fintoch, were notable among these events.
The resulting damages from these two incidents were colossal, with Atomic Wallet and Fintoch enduring financial losses of $100 million and $31.6 million, respectively.
The most affected chains were BNB and Ethereum, while Arbitrum, having had no incidents in the same quarter last year, experienced a significant rise in targeted attacks. Hacks accounted for a chunk (83.1%) of losses in Q2, while frauds, scams, and rug pulls represented 16.9%.
The Rising Trend Of Rug Pulls
According to Immunefi’s CEO, Mitchell Amador, there has been an increase in rug pulls in terms of both stolen funds and the number of incidents. He stressed the importance of users assessing projects as bad actors expand their malicious activities and employ increasingly sophisticated scams.
Amador noted:
We have witnessed a considerable increase in rug pulls, both in terms
Go to Source to See Full Article
Author: Samuel Edyme
Tip BTC Newswire with Cryptocurrency
Donate Bitcoin to BTC Newswire
Donate Bitcoin Cash to BTC Newswire
Donate Ethereum to BTC Newswire
Donate Litecoin to BTC Newswire
Donate Monero to BTC Newswire
Donate ZCash to BTC Newswire
