Bitcoin
Ethereum, Bitcoin, XRP Lead $1.5 Billion in Crypto Scam Losses
The first half of 2024 has seen an increase in major attacks in the cryptocurrency sector. Ethereum (ETH)Bitcoin (BTC) and XRP led the way in crypto scam losses totaling over $1.5 billion. This year, over 200 significant incidents have resulted in approximately $1.56 billion in losses.
Cryptocurrency scam losses reach $1.5 billion
According to data from Peck Shield Alert, only $319 million in lost crypto funds have been recovered. Furthermore, this year’s losses represent a staggering 293% increase compared to the same period in 2023, where losses totaled $480 million.
Furthermore, DeFi protocols have been the main targets of hackers. They account for 59% of the total value stolen. Over 20 public chains have suffered major hacks during this period. Furthermore, Ethereum, Bitcoin, and XRP topped the list of amounts lost through cryptocurrency hacks.
Furthermore, Ethereum and BNB Chain were the most frequent targets, each accounting for 31.3% of the total hacks. Meanwhile, Arbitrum followed with 12.5% of the attacks. One of the most significant incidents occurred on June 3, 2024.
DMM BitcoinA major Japanese cryptocurrency exchange has reported a substantial breach. Attackers stole 4,502.9 BTC, worth over $300 million at the time. This incident highlighted vulnerabilities within exchanges, especially those that handle large volumes of digital assets.
Read too: XRP News: Whale Moves 63 Million Coins as Ripple Strengthens Case
Major XRP, ETH and BTC hacks
A week after the Bitcoin DMM attack on June 10, UwU lendsa decentralized finance (DeFi) lending protocol, was compromised. The breach resulted in the loss of approximately $19.3 million in digital assets. The hack highlights the ongoing risks associated with DeFi platforms, which typically operate with less regulatory oversight. The platform then offered a $5 million bounty to capture the hacker.
Earlier this year, on February 3, 2024, Ripple co-founder Chris Larsen confirmed a major security breach involving his personal wallets. Initially, there were rumors that Ripple itself was targeted. However, Larsen clarified that the hack involved his digital wallets and not Ripple’s corporate assets.
The hackers managed to transfer a whopping 213 million XRP tokens, valued at approximately $112.5 million. Furthermore, on-chain detective ZachXBT first alerted the community about the suspicious transactions. In response to the theft, Larsen and several cryptocurrency exchanges took swift action to mitigate the impact.
Several exchanges, including MEXC, Gate, Binance, Kraken, OKX, HTX, and HitBTC, collaborated to freeze a significant portion of the stolen funds. Binance alone froze $4.2 million worth of XRP to aid the investigation.
Additionally, on April 2, 2024, FixedFloat, a Bitcoin Lightning-based exchange, suffered a security breach. Unauthorized transactions led to financial losses exceeding $3 million. This incident highlighted ongoing security issues for FixedFloat, following a similar breach earlier in the year.
The company has also faced significant challenges in securing its platform against repeated attacks. In February, hackers stole $26 million worth of Ethereum and Bitcoin from FixedFloat. These digital assets were then dumped on exchanges to realize profits.
Read too: Ethereum Leads Bitcoin by 2x in Network Fee Revenue Thanks to Layer 2
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Kritika boasts over 2 years of experience in the financial news industry. Currently working as a crypto journalist at Coingape, she has consistently demonstrated a flair for blockchain technology and cryptocurrencies. Kritika combines insightful analysis with a deep understanding of market trends. With a keen interest in technical analysis, she brings a distinct perspective to her reporting, exploring the intersection of finance, technology, and emerging trends in the crypto space.
The content presented may include the author’s personal opinion and is subject to market conditions. Do your market research before investing in cryptocurrencies. The author or the publication is not responsible for your personal financial loss.