2024 Crypto Hacks Explode to $2.1B, CeFi Hit the Hardest

In 2024, losses from crypto hacks have already exceeded the total for all of 2023, setting a new record. The rise in cyberattacks shows the growing dangers in the space and the need for urgent solutions.

According to a report shared exclusively with BeInCrypto, Cyvers was crucial in detecting all reported crypto attacks in Q3 2024, with about half of these caught only by their system. Using AI-powered monitoring, Cyvers’ real-time alerts helped stop further financial losses, showing how important advanced tools are in protecting digital assets.

Crypto Hacks in 2024 Hit Record Highs, Exposing Major Security Weaknesses

The first three quarters of 2024 have seen losses from crypto hacks hit $2.114 billion, surpassing the total for all of 2023. This marks a sharp 72% increase compared to the same period last year, highlighting the growing vulnerability of both centralized and decentralized platforms.

Key Numbers:

• Jan-Sept 2023: $1.23 billion lost
• Full year 2023: $1.69 billion
• Jan-Sept 2024: $2.114 billion

Centralized finance (CeFi) platforms, in particular, have faced a huge rise in attacks, with incidents up nearly 1,000% year-on-year. Meanwhile, decentralized finance (DeFi) platforms have seen a 25% drop in losses, though they remain exposed due to complex smart contracts and protocols.

CeFi Hacks on the Rise

CeFi platforms have been hit hardest in 2024, with a 984% increase in crypto hacks. The second quarter of 2024 alone saw $401 million in losses across five major incidents.

The most notable was the DMM Bitcoin exchange breach, which resulted in a $305 million loss. Turkey’s BtcTurk was also hit for $55 million, alongside other exchanges like Lykke and FixedFloat.

Read more: 15 Most Common Crypto Scams To Look Out For

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

DeFi Platforms See Fewer Losses but Remain at Risk

DeFi platforms saw a 25% reduction in losses compared to the same period in 2023. Still, $171.3 million was lost across 62 incidents in Q2 2024, with Ethereum and BNB Chain continuing to be key targets for attacks due to their large ecosystems.

Vulnerability Breakdown

• Access Control Breaches:
  • 2023 (Jan-Sept): $742.6 million
  • 2024 (Jan-Sept): $1.62 billion (99% increase)
• Smart Contract Exploits:
  • 2023 (Jan-Sept): $429.6 million
  • 2024 (Jan-Sept): $380.4 million (19% decrease)

Crypto Hacks Statistics

The total number of hacking incidents has surged:

• 2023 (Jan-Sept): 44 incidents
• 2024 (Jan-Sept): 131 incidents (197% increase)

These include:

• Smart Contract Exploits: Up from 28 in 2023 to 79 in 2024 (182% increase)
• Access Control Breaches: Up from 16 in 2023 to 51 in 2024 (218% increase)

The report urges the need for stronger cross-chain security and better real-time threat detection. As crypto faces more advanced attacks, including those driven by AI, stronger security measures and faster regulatory action are critical to safeguarding assets.

Read more: A Guide to the Best AI Security Solutions in 2024

Although DeFi has seen fewer losses, the entire industry is still at high risk. Improving security and taking more proactive steps will be essential to prevent future losses and protect the growing crypto market.