It was warned that the amount stolen in Q1 2023 mirrors Q2 2022, which was followed by a “record setting number of hacks.”
330 Total views
4 Total shares
The crypto community is being urged not to let their guard down despite a significant decline in crypto hacks during the first quarter of 2023 — with one firm warning it is most likely a “temporary reprieve, rather than a long-term trend.”
Last year was the biggest year ever for crypto hacking in history, with an estimated $3.8 billion stolen, primarily from decentralized finance (DeFi) protocols and North Korea-linked attackers, according to a report from Chainalysis earlier this year.
However, this number appears to have drastically reduced in the first quarter of 2023. According to a May 21 report by TRM Labs, the amount stolen through crypto hacks in Q1 2023 “was less than any other quarter in 2022.”
It was also noted that the average hack size dropped nearly 65% compared to the prior year period.
“The average hack size also took a hit in Q1 2023 – to USD 10.5 million from nearly USD 30 million in the same quarter of 2022, even as the number of incidents was similar (around 40).”
Despite the drop, history suggests crypto users shouldn’t get complacent. Crypto hacks fell significantly in Q3 2022, right before “a record-setting number of hacks” in Q4, which “turned 2022 into a record year,” noted TRM Labs.
“Unfortunately, this slowdown is most likely a temporary reprieve rather than a long-term trend,” it noted, adding that just a few large-scale attacks could be enough to tip the scales again.
While it was noted that “there is no one obvious explanation for the lull,” TRM Labs suggested the sanctioning of cryptocurrency mixer Tornado Cash by the U.S. Treasury and the arrest pf and charges against Mango Markets exploiter Avraham Eisenberg may have discouraged would-be hackers.
Related: Developers need to stop crypto hackers or face regulation in 2023
In January, blockchain security firm Certik told Cointelegraph that it does not “anticipate a respite in exploits, flash loans or exit scams.”
It noted the likelihood of “further attempts from hackers targeting bridges in 2023.” Such bridges accounted for six of the 10 largest exploits in 2022, which saw around $1.4 billion stolen.
Magazine: Should crypto projects ever negotiate with hackers? Probably
This “Crypto City” guide looks at Tokyo’s crypto culture, the city’s most notable projects and people, its financial infrastructure at which retailers accept crypto and where you can find blockchain education courses — and there’s even a short history with all the juicy details of famous controversies and collapses.Fast factsCity: TokyoCountry: JapanPopulation: 14MFounded: 1603Language: JapaneseThe…
A major digital asset platform is making it even easier to order that double espresso with an extra shot.Starbucks mobile app users will soon be given the option to pay for their drinks with “Bakkt Cash.” Intercontinental Exchange (ICE), parent company of the Bitcoin derivatives provider, had declared back in August 2018 that the coffee…
Every Friday, Law Decoded delivers analysis on the week’s critical stories in the realms of policy, regulation and law. Editor’s notePolicy changes slowly. Crypto wants to move fast. Sometimes fairly, sometimes not, the crypto industry often portrays traditional financial regulators as calcified relics unprepared to deal with the coming new world. To be fair, everyone seems to…
The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.The market data is provided by the HitBTC exchange.Bitcoin’s White Paper was published ten years ago, today. From…
Mining new Bitcoin keeps getting harder, but the current difficulty is still far from its record highs. 303 Total views 3 Total shares As the Bitcoin (BTC) network hashrate continues recovering amid global miners accumulating more capacity, the cryptocurrency is getting increasingly difficult to mine.On Sept. 21, the Bitcoin network posted another mining difficulty adjustment,…
SushiSwap, an upcoming DeFi protocol forked from Uniswap's decentralized exchange, has grabbed numerous headlines in recent days. One such story pointed out that the project's pseudonymous head, known only as Chef Nomi, maintains access to $27 million in Sushi tokens.Cointelegraph reached out to SushiSwap’s founder for further clarification in an attempt to ensure fair reporting,…
Rep. Kevin McCarthy, the current Republican Minority Leader in the United States House of Representatives, said on Tuesday, March 12, that blockchain can make the U.S. Congress a more efficient and transparent place.Speaking to the Select Committee for Modernization of Congress, McCarthy said that blockchain technology has changed the paradigm of security in the financial…
One crypto wallet provider’s marketing interaction with Elon Musk has backfired with the Tesla CEO roundly criticizing the company. 5744 Total views 20 Total shares Freewallet, a hosted crypto wallet service known for offering standalone storage services for cryptocurrencies has seen its marketing attempt rebuffed by Elon Musk.Responding to Freewallet’s self-promotional message, Musk retorted:Any crypto…
Coming every Saturday, Hodler’s Digest will help you track every single important news story that happened this week. The best (and worst) quotes, adoption and regulation highlights, leading coins, predictions and much more — a week on Cointelegraph in one link.Top Stories This WeekKraken’s Jesse Powell will step down as CEO, stay on as board…