According to new data, cryptocurrency hacking incidents have increased by 27.66% since 2021 and continue to rise.
A 10-year view of crypto hacks led by CoinJournal discovered the worrying upward trajectory of cryptocurrency-based fraud. The findings have now been part of the recently released Crypto Fraud Report.
The ten-year data considers all major breaches since 2012. It reveals the significant year-over-year (YoY) increase in crypto fraud, as well as the most affected countries.
The report ranks 2022 as the worst year of the decade for cryptocurrency hackers. As indicated by the data, the year saw 120 separate hacking incidents. This is 26 more accidents than the previous year, which equates to an increase of 27.66%.
Together, these attacks managed to seize a total of nearly $2.28bn (£1.87bn). It is unclear how much of this figure has been recovered. However, this figure fails to match with the Crypto Presales data, which suggests that crypto hacks cost the market a much higher price tag of $3.5 billion in 2022.
Similarly, the previous data of The best brokers put the year-over-year increase for 2022 crypto hacks at 206%.
Despite discrepancies between sources, further delving into CoinJournal’s data paints an equally troubling retrospective of crypto attacks.
Pursuit and perseverance
The three years leading up to 2022 confirm the growing threat of these attacks. 2021 ranked second in attack rate; with 94 confirmed incidents seizing assets worth just over $4.9bn (£4.03bn).
Thus, the 2021 data recognizes a year-over-year increase of 203.23% over the previous year. By the way, 2020 ranked third for crypto hacks. During this year, 31 confirmed attacks generated $1.58bn (£1.3bn) in stolen funds, a 19.23% increase on 2019.
As expected, it was this year that CoinJournal ranked fourth for cryptocurrency hacks. Its data indicated that 26 incidents took away $3.71bn (£3.05bn) during 2019. Overall, this marks 2019 as a 73.33% year-on-year increase in the number of attacks; according to CoinJournal.
Elsewhere, the report lists 2013, 2018, 2017 and 2012 (in that order) in the rankings for the number of crypto attacks. Above all, these figures suggest that the problem of crypto hacks has become more pronounced as both the decade and the industry have progressed.
As for the additional findings of the report, CoinJournal confirms that decentralized finance (DeFi) breaches are the most common manifestation of crypto attacks. As a result, 2022 has been plagued by this form of breach which has struck as many as 80 times; account for two-thirds of all accidents.
The second most common type of crypto attack was common fraud, with 36 frauds occurring in 2022, an increase of more than 140% from 2021. The biggest fraud of 2022 was worth £53,940,000.
The United States is the most targeted country, with 13 hacks and breaches since 2011. The most recent was in July 2020, when the hackers went into verification Chirping account and launched a fake donation campaign.
The most expensive crypto scam was by More Tokenwhere nearly $3 billion worth of Bitcoin and Ethereum (ETH) were stolen.
BSC was the most stolen coin in 2022, with currency stolen a total of 50 times. This was a 72% increase from 2021, when it was stolen just 29 times. The second most stolen coin was ETH with 33x.