The cryptocurrency ecosystem lost approximately $266 million to hacks in July, with WazirX accounting for the majority of the losses.
Points
- Total of $266 million lost to crypto hacks in July.
- WazirX hack represents 86.4% of the total losses.
- Other significant hacks include Compound Finance and Li.Fi protocol.
- Hackers often use crypto mixers like Tornado Cash to evade detection.
In July, online hackers stole around $266 million from the cryptocurrency ecosystem and its investors through 16 separate attacks.
WazirX Leads the Losses
On July 18, Indian crypto exchange WazirX lost over $230 million to a major hack — representing 86.4% of the total crypto lost to hacks in the month. After independent investigations, the hack was attributed to North Korean hackers, based on the patterns and techniques of the exploit.
Cointelegraph
An Overview of Total Damage in July
Blockchain investigation firm PeckShield reported that the stolen WazirX funds, totaling 61,154 Ether （ETHUSD）, remain under the hacker’s control as of Aug. 1.
Other prominent crypto hack victims in July include algorithmic protocol Compound Finance （$24 million）, bridging protocol Li.Fi （$10 million）, decentralized AI protocol Bittensor, and liquidity provider Rho Markets （$8 million each）.
Cointelegraph
In most cases, hackers have moved the stolen funds to crypto mixer Tornado Cash to evade detection and any possibility of tracing back the loot.
Centralized Crypto Entities Are Biggest Targets
On the last day of July, the infamous Terra blockchain temporarily halted at block height 11430400 following a hack that drained $6 million.
By exploiting a known vulnerability, the Terra hacker stole 60 million ASTRO （ASTRO）, 500,000 USD （USDT）, 3.5 million USD Coin （USDC）, and 2.7 Bitcoin （BTC）.
The Terra developers completed an emergency chain upgrade before resuming block production on the same day. The company update stated:
“Validators holding over 67% of the voting power on Terra have upgraded their nodes to prevent the exploit from recurring. More validators are expected to upgrade soon.”
According to Deddy Lavid, the co-founder and CEO of Web3 security firm Cyvers, centralized finance （CeFi） entities are the largest target for cryptocurrency hackers in 2024.
Previously speaking to Cointelegraph, he said that “attacks against smart contract-based projects are on the rise” as well. Lavid added that the biggest security vulnerabilities today stem from both the code and personal negligence.
解説
- The significant financial impact of crypto hacks underscores the need for robust security measures in the industry.
- Centralized exchanges and protocols are major targets, highlighting the importance of decentralized solutions and improved security practices.
- The use of crypto mixers by hackers complicates recovery efforts, emphasizing the need for advanced tracking and preventive technologies.