July 4, 2023

$656 Million Lost in Crypto in 1st Six Months of 2023

Cryptocurrencies

Cryptocurrencies

A recent report by Web3 and blockchain security company Beosin showed that the total amount of cryptocurrency lost due to hacks, scams, and rug pulls amounted to $656 million in the first half of 2023.

According to Cointelegraph, the $656 million includes $471.43 million lost in 108 protocol attacks, an additional $108 million in various phishing scams and $75.87 million over 110 rug pulls.

Beosin pointed out that the first six months of 2023 witnessed a decline in the amount of crypto stolen due to hacks compared to the same period in 2022 and the last six months of 2022 also.

“Approximately $215 million of stolen assets were recovered, accounting for 45.5% of all stolen assets. In contrast, in 2022, only 8% were recovered. $113 million of stolen assets were transferred to mixers: $45.38M into Tornado Cash and $68.14M into other mixers,” Besoin noted.

Beosin and Footprint Analytics said that only one project was hacked for more than $100 million, which was Euler Finance. On March 13, Euler Finance, an Ethereum-based lending protocol, lost over $195 million in a flash loan attack, but the hackers returned most of the stolen money after the company opened redemptions on April 12.

According to the report, coins and tokens minted on the Ethereum blockchain were the vast majority of crypto lost in the first half of this year, with a percentage of 75.6%, while the second largest stolen asset class was Binance Smart Chain tokens, with a percentage of 2.6%.

It is worth mentioning that in the first quarter of this year, the crypto losses due to hacks recorded more than $320 million, according to data collected by leading blockchain security company Certik.

Ethereum lost the largest amount of crypto due to hacks in the first quarter of 2023 ($221 million), although it has only 29 incidents, lower than BNB Chain, which had the highest number of incidents it lost only $23.9 million.

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