Crypto Losses from Fraud and Hacks Down 12% in May: Immunefi
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Crypto Losses from Fraud and Hacks Down 12% in May: Immunefi
Losses from crypto-related fraud and hacks decreased by 12% year-over-year, according to a report released on May 30 by blockchain security firm Immunefi. A total of $52 million was lost throughout the month, which is a drop from over $59 million in losses during the same period last year. The figure marks a 28% reduction compared to losses incurred in April. This report underscores a continuous trend of diminishing losses from hacks and fraud within the Web3 sector.
Earlier, in March, Immunefi had issued another report indicating that losses in the first quarter of 2024 had declined by 23% compared to the same period the previous year. Similarly, in April, CertiK reported that the month recorded the lowest losses ever. Both reports highlight a promising trend in combating cyber threats within the blockchain industry.
The details from the May 30 report attribute the majority of the losses to two significant attacks. The first was a hack involving Gala Games, a Web3 gaming protocol, which resulted in losses close to $21 million. The second major incident was a smart contract exploit targeting Sonne Finance, leading to $20 million in losses. Combined, these two attacks accounted for 78% of the total losses for the month.
Ethereum and BNB Chain emerged as the most targeted networks in May, with 62% of all attacks aimed at these chains. Notably, all the attacks were directed at decentralized protocols, and no funds were lost from any centralized exchanges during this period.
Fraud continued to constitute a minor portion of overall losses. Only $1.7 million, or 13.6% of the total losses, were attributed to fraudulent activities, with the remaining losses arising from hacks and exploits. This suggests that while fraud remains a concern, the primary threats are still predominantly technical in nature.
Although the report from Immunefi did not delve into the reasons behind the decrease in losses from exploits, the declining trend in crypto losses is noticeable when compared to previous years. Experts have previously suggested that improvements in security technology and enhanced law enforcement practices have played a significant role in reducing these losses.
Additional support for this trend came from Blockaid in April. The company claimed that its software had forced some crypto drainers to shut down, effectively eliminating at least one form of threat that crypto users face. This indicates that enhanced technological measures have started paying off.
The data paints an optimistic picture for the Web3 industry in terms of security, showing considerable improvements and effective measures in tackling the ongoing threats of hacks and fraud. It also highlights the need for continued vigilance and advancements in security protocols to sustain and improve this positive trend.
Yeah, a decrease sounds nice until you’re the one who lost money. Web3 security has a long way to go.
Great, Ethereum and BNB Chain are the prime targets. As if we needed more reasons to feel unsafe in the crypto space. 😒
This positive trend is exactly what we need to build trust in the blockchain ecosystem! 🌍📉
Impressive decrease in crypto-related fraud and hacks! Let’s aim for even better.
Security in Web3 is improving constantly. Keep up the great work, everyone!
Great to see collaborative efforts between tech and security experts yielding such results!
Web3 and blockchain are definitely on the right path with these improved security measures!
This trend of decreasing losses is exactly what the crypto world needs. Let’s maintain it!
Such promising news for the blockchain community! Keep advancing in security.
Those numbers are still terrifying! $52 million in one month is insane. Honestly, I don’t see how this is good news.
Great job, Immunefi and other security firms! Keeping our assets safe and secure.
Improved security tech? More like band-aids on a bullet wound. We need serious reforms, not just ‘better’ stats.
What a joke. $21 million lost from Gala Games alone? That’s catastrophic. This so-called ‘improvement’ isn’t enough. 🤦♂️
It’s hard to celebrate any decline in losses when $52 million is still disappearing into thin air. Crypto needs to do better.
Hearing about fewer financial losses in the crypto world is such a breath of fresh air.
Props to the continuous efforts in making the decentralized web more secure!
It’s great to see progress in Web3 security! Keep up the good work!
The Web3 sector is definitely evolving when it comes to security! Love it.
Every percentage drop counts! Continuous improvement in cyber security is crucial. 👏🏼🔐
A 12% decrease in losses is a step in the right direction. Kudos to Immunefi! 👏🏻✨
Who cares about a reduction when millions are still lost? This industry feels like a ticking time bomb.
Decreased losses and effective security measures make me excited for the future of crypto! ✨🔮
A 28% reduction in losses within a month? That’s huge! Bravo to everyone involved! 🎉🌟
Sure, losses decreased, but $52 million is still a LOT! This isn’t something to celebrate. The crypto world needs much better security!
If these are the ‘improved’ numbers, I’d hate to see what bad looks like. Crypto is still a minefield.
Kudos to the experts enhancing security technology. We’re seeing the benefits now!
These numbers show us that teamwork in the crypto community is making a real difference!
Positive reports like these make me more optimistic about the future of crypto security. 🌟🎉
A decrease in crypto fraud and hacks is always news worth celebrating!
It’s good to hear that the battle against cyber threats in the crypto world is showing results!
Fantastic to see the blockchain industry taking effective measures against cyber attacks!
Immunefi and CertiK are doing a fantastic job documenting and combating these threats!
Significant reductions in losses indicate that our efforts in enhancing security are paying off!
Seeing these improvements in security makes me more confident in the crypto space. Well done!
Cyber threats are still rampant. A slight decrease in losses changes nothing for those affected.