Q3 2023 Sees Surge in Crypto and Web3 Attacks, Immunefi Reports $686M in Losses
Summary:
Between July and September 2023, attacks on Crypto and Web3 projects increased by 153% compared to Q3 2022, with losses nearing $686 million, as reported by blockchain security platform Immunefi. The biggest loss originated from the Mixin hack and the yet-to-be-recovered Multichain breach. The Lazarus Group was responsible for a third of all stolen crypto in the same period. Scams accounted for merely 3.3% of total losses, a 23.9% drop from Q3 2022. Ethereum and BNB Chain emerged as the primary targets for hackers and scammers.
Between July and September 2023, the number of attack incidents on Crypto and Web3 schemes surged by 153% compared to the same timeframe in 2022, as revealed by the blockchain security system Immunefi. A total of 30 such occurrences were recorded in the third quarter of 2022, but this figure shot up to 76 in the third quarter of 2023. The most recent quarter noted a loss of close to $686 million.
The report from Immunefi makes mention of the most significant loss which occurred from the Mixin cyberattack on September 25, wiping out around $200 million. The subsequent most severe attack for the quarter was the Multichain breach, inflicting losses exceeding $126 million, which is yet to be recuperated. Lazarus Group also carried out several attacks, including breaches on CoinEx, Alphapo, Stake, and Coinspaid, draining over $208 million in crypto. According to the report, Lazarus Group was accountable for 30% of the total crypto stolen in Q3.
On top of such incidents, only a minuscule fraction, about 3.3% ($23 million) of the total losses in Q3, were scams like rug pulls. Conversely, hacks and exploits contributed to the remaining 96.7% of damages. Interestingly, the financial impact from scams saw a 23.9% drop in the third quarter compared to the same period in 2022.
Decentralized finance (DeFi) breaches made up 72.9% of the total damages, while centralized services accounted for just 27.1% of losses from breaches. However, how Immunefi differentiated between “centralized” and “decentralized” services isn't clarified.
The report indicated that Ethereum and BNB Chain were the most popular targets for hackers and scammers, with loss percentages of 42.7% and 30.5% respectively. Base and Optimism were the next attractive networks for assailants.
This report from Immunefi further validates that the third quarter has been particularly devastating this year for crypto-related breaches and scams, a conclusion aligned with an October 2 report from Certik.
Published At
10/3/2023 7:00:00 PM
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