The Rise of Cybercrime in the Cryptocurrency Industry: A Look at the Surge in Crypto Theft
The cryptocurrency industry has been a hotbed for cybercriminals, with a recent report revealing that hackers have stolen a staggering $1.4 billion in the first half of 2024 alone. This surge in crypto theft has been fueled by the unprecedented growth and volatility in the cryptocurrency market.
According to the blockchain intelligence firm TRM, the amount of cryptocurrency stolen through hacks and network exploits more than doubled to $1.38 billion in the first six months of the year. This sharp increase is primarily attributed to a small number of large-scale attacks, with just five major incidents accounting for 70% of the stolen funds.
One of the largest attacks in 2024 targeted Japanese crypto exchange DMM Bitcoin, resulting in the theft of over $300 million worth of Bitcoin and more than 4,500 tokens. The cause of this massive attack remains unknown, but efforts are underway to track down the perpetrators.
Other notable heists include the Euler Finance Attack in 2023, where nearly $200 million worth of crypto assets were stolen, and the BitMart Exchange Hack in 2021, where hackers managed to steal approximately $150 million worth of assets.
The surge in crypto theft can be attributed to several factors, including the rising value of cryptocurrencies. As the prices of Bitcoin, Ether, and other tokens have soared, so too has the incentive for cybercriminals to target crypto assets. Hackers have employed various methods to steal crypto assets, with the most common technique involving gaining unauthorized access to private keys and seed codes.
While this year’s crypto thefts are substantial, they still fall short of the record $2 billion stolen in the first half of 2022. With the cryptocurrency market continuing to experience growth and volatility, it’s clear that cybercriminals will continue to target this lucrative industry.
