Crypto hacking attacks to surge in 2024, with losses expected to reach $2.1 billion

In 2024, the losses in the crypto asset sector due to hacker attacks have exceeded the total for the whole of 2023, setting a new record . The increase in cyber attacks shows that the dangers in this field are increasing day by day and solutions are urgently needed.

According to a report from the relevant industry, Cyvers played a key role in detecting all Crypto asset attacks reported in the third quarter of 2024, with about half of the attacks captured by its system.

By using AI monitoring, Cyvers’ real-time alerts helped prevent further financial losses, demonstrating the importance of advanced tools in protecting digital assets.

In the first three quarters of 2024, losses from Crypto asset hacking attacks amounted to $2.114 billion , exceeding the total for the entire year of 2023. This marks a massive 72% increase compared to the same period last year, highlighting the increasing vulnerability of both centralized and decentralized platforms.

Here are some “key numbers”:

• January-September 2023: $1.23 billion in losses

• Full year 2023: $1.69 billion loss

• January-September 2024: Losses of $2.114 billion

Centralized finance (CeFi) platforms, in particular, have seen a sharp rise in attacks, with incidents increasing by nearly 1,000% year-over-year . Meanwhile, decentralized finance (DeFi) platforms saw losses fall by 25%, but despite their complex smart contracts and protocols, they remain at risk.

CeFi platforms were hit hardest in 2024, with Crypto asset hacking incidents increasing by 984%. In the second quarter of 2024 alone, five major incidents resulted in losses of $401 million.

The most notable of these was the DMMBTC exchange breach, which resulted in a $305 million loss . Turkey’s BtcTurk and other exchanges such as Lykke and Fixed Float also suffered a $55 million attack.

This wave of CeFi attacks demonstrates the growing need for better security controls and regulatory action to prevent further losses .

DeFi platforms saw losses fall by 25% compared to the same period in 2023. Nevertheless, 62 incidents in the second quarter of 2024 still resulted in $171.3 million in losses, with Ethereum and BNBChain continuing to be the main targets of attacks due to their large ecosystems.

At the same time, the total number of hacking incidents due to access control vulnerabilities and smart contract vulnerabilities has surged . From January to September 2023, there were only 44 incidents, while from January to September 2024, there were 131 incidents.

The report calls for enhanced cross-chain security and better real-time threat detection. As Crypto assets face more advanced attacks, including those driven by artificial intelligence, stronger security measures and faster regulatory action are essential to protecting assets.

Although DeFi losses have decreased, the entire industry is still at high risk. To prevent future losses, it is crucial to protect the growing Crypto asset market, improve security, and take more proactive measures.