According to recent research, hackers and scams led to crypto losses of up to $428 million in the third quarter (Q3), a 36% decrease from the previous quarter. The bug bounty platform Immunefi showed that fraud accounts for just 7% of the overall crypto losses in the third quarter of 2022, whereas hacking accounts for 93%.
“The worldwide Web3 area was assessed at $3 trillion in 2021, and with billions of dollars tied up in various smart contracts, this money provides a unique and alluring opportunity for blackhat hackers,” the paper said.
The researchers observed a total loss of $399 million due to hacking over 30 cases and a total loss of $29 million due to fraud across nine incidents.
“The majority of that amount was lost by Nomad Bridge, a cross-chain communication standard that permits token and data transfers across chains, and Wintermute, a worldwide crypto market maker,” the research said.
In the third quarter of 2022, DeFi (decentralized finance) remains the primary target for exploits as opposed to CeFi (centralized finance).
DeFi accounted for 98.8% of the overall losses, while CeFi accounted for 1.2% of the total losses.
In the third quarter of 2022, attacks against BNB Chain and Ethereum were the most common.
BNB Chain had the most individual assaults with 16 occurrences, representing 28.6% of the overall losses across all affected chains, while Ethereum saw 13 incidents, indicating 23.2% of the total losses.