Over the course of the last 13 years, the cryptocurrency industry has been plagued by a total of 785 reported hacks and exploits. A staggering $19 billion worth of digital assets were stolen since the first known crypto hack was reported on June 19, 2011, as per a report from Crystal Intelligence shared with Cointelegraph.
The most significant theft to date was the 2019 Plus Token fraud, where attackers managed to steal $2.9 billion worth of Bitcoin (BTC) and Ether (ETH). However, the largest single crypto heist in recent years occurred in February 2024, with the $290 million security breach on PlayDapp.
In terms of fraud schemes, the JPEX investment scam in Hong Kong stands out as the largest single crypto fraud, resulting in a staggering $194.3 million of stolen crypto during the same period.
Crypto hacks and scams have proven to be major obstacles in gaining mainstream trust and adoption. The first quarter of 2024 alone saw $542.7 million worth of stolen funds, a 42% increase compared to the same period in 2023, indicating that 2024 could surpass the previous year in terms of theft.
Although 2023 reported the highest number of hacks, 2022 is known as the deadliest year in terms of value lost. Despite 2022 having fewer incidents than 2023, the total amount of stolen digital assets nearly doubled.
The Crystal Intelligence report highlights the continued growth in illegal activity on the blockchain in 2023 and 2024, despite improved monitoring and reporting mechanisms.
In 2023, security breaches resulted in over $1 billion worth of digital assets being stolen, surpassing the amount lost to decentralized finance (DeFi) hacks. While DeFi hacks were smaller in size, they occurred more frequently, with over 112 incidents reported.
The largest single DeFi hack in recent years was the Euler Finance hack, which led to the theft of $197 million worth of Ether tokens. The top 10 DeFi hacks in 2023 and 2024 accounted for nearly $579 million in stolen assets.
Despite efforts to enhance security measures, the cryptocurrency industry continues to face significant challenges due to the prevalence of hacks and scams.