Crypto Hacks Decrease by More Than 50 in June A Decline Welcomed by Cryptocurrency Users
In the month of June 2024, numerous significant hacks occurred, resulting in losses exceeding $176.2 million. Data provided by PeckShield Alerts revealed that these losses were a result of over 20 different hacks targeting both DeFi and CeFi platforms. In comparison, cybercriminals earned approximately $385 million in May, making June’s losses 54.2% lower than the previous month.
The decline in hacking profitability can be attributed to several factors. Firstly, trading platforms in the cryptocurrency sector have implemented enhanced security measures such as Multi-Factor Authentication, improved encryption, and rigorous auditing. These measures have made it more challenging for hackers to exploit vulnerabilities.
Additionally, users have become more educated about the risks associated with cryptocurrency scams, reducing the success rate of socially-engineered attacks. This increased awareness has led to a decline in the number of successful attacks.
Furthermore, regulatory bodies worldwide have heightened their scrutiny of cryptocurrency exchanges and platforms. Stricter legal requirements and regulatory policies, coupled with efforts to apprehend malicious actors, have helped mitigate crypto asset-related incidents.
The development of blockchain technology, specifically intelligent contracts, has also played a crucial role in bolstering security. New generations of smart contracts have been developed with better code, while decentralized governance solutions have improved the resilience of DeFi platforms against potential attacks.
Among the notable breaches in June 2024, Btctruk, a Centralized Finance (CeFi) platform, suffered the highest loss of $100.25 million. This incident highlighted the vulnerabilities of traditional financial integration methods with cryptocurrencies. Another CeFi platform, Lykke, experienced a breach resulting in a total loss of $22 million, further emphasizing the ongoing issues with secure development in centralized exchanges.
In the decentralized finance (DeFi) space, UwULend, a DeFi protocol, fell victim to a breach resulting in a loss of $19.4 million, as well as an additional $3.75 million stolen in arbitrage attacks. Holograph, a DeFi platform, faced an attack amounting to $14.4 million, exposing weaknesses in financial services utilizing smart contracts. The DeFi project Velocore also suffered losses of $6.8 million in June.
As the crypto industry continues to grow, participants remain vigilant in preventing threats and prioritize cybersecurity to maintain investor trust in decentralized systems.
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June Crypto Report: Nearly $200 Million Drained in Hacks and Scams!
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