Crypto Hacks Surge to $2.1B in 2024, CeFi Platforms Hit Hardest

In Brief:

Crypto hacks in 2024 have reached $2.1 billion, surpassing 2023's total losses, with centralized finance (CeFi) platforms experiencing a 984% increase in attacks.

Despite a 25% reduction in DeFi losses, the industry remains vulnerable, emphasizing the need for better security measures and regulatory actions.

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Crypto Hacks Surge to $2.1B in 2024, CeFi Platforms Hit Hardest

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In 2024, crypto hacks have already resulted in losses exceeding $2.1 billion, setting a new record and highlighting the growing dangers in the crypto space. This marks a 72% increase compared to the same period last year, with centralized finance (CeFi) platforms facing the brunt of these attacks.

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According to a report shared with BeInCrypto, Cyvers has been instrumental in detecting these attacks, with its AI-powered monitoring system providing real-time alerts to prevent further financial losses. The first three quarters of 2024 alone have seen losses surpass the total for all of 2023, emphasizing the urgent need for advanced security solutions.

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CeFi Platforms Experience Sharp Increase in Attacks

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CeFi platforms have experienced a staggering 984% rise in crypto hacks in 2024. The second quarter alone accounted for $401 million in losses across five major incidents, including a $305 million breach at DMM Bitcoin exchange and a $55 million hit on Turkey’s BtcTurk. This surge in CeFi attacks underscores the necessity for improved security controls and regulatory measures.

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DeFi Platforms See Fewer Losses but Remain Vulnerable

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While decentralized finance (DeFi) platforms have seen a 25% reduction in losses compared to the same period in 2023, they remain at risk due to complex smart contracts and protocols. Ethereum and BNB Chain continue to be primary targets, with $171.3 million lost across 62 incidents in Q2 2024.

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The report highlights a significant increase in access control breaches, nearly doubling from $742.6 million in 2023 to $1.62 billion in 2024. The total number of hacking incidents has surged by 197%, with smart contract exploits and access control breaches both seeing substantial increases.

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As the industry faces more advanced attacks, including those driven by AI, the report urges stronger cross-chain security and real-time threat detection. Proactive steps and faster regulatory action are crucial to safeguarding assets and preventing future losses in the growing crypto market.

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