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Q1 Report: $502M Lost in Security Attacks, $239M in Private Key Compromises

Published 04/04/2024, 11:16
Updated 04/04/2024, 11:45
Q1 Report: $502M Lost in Security Attacks, $239M in Private Key Compromises
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  • 2024 Q1 experienced a total loss of $502 million in 223 onchain security hacks.
  • Private key compromises alone resulted in a loss of $239 million, constituting more than half of the losses.
  • CertiK co-founder Ronghui Gu suggests that the community implement multisig wallets and multiparty computation to enhance security.

In the ever-evolving crypto and blockchain sectors, security hacks and exploits remain a major threat. Recently, blockchain security firm CertiK released its quarterly “Hack3d” security report, revealing a substantial loss of $502,522,934 in a total of 223 onchain security incidents.

Certik co-founder Ronghui Gu commented on the prevailing concerns about the complexity of private key compromises and phishing attacks. According to the report, in 2024’s Q1, the private key compromises alone have resulted in a massive loss of $239,037,879 in just 26 incidents. The loss in private key compromises represents nearly half of all the reported financial losses in Q1, though the number of attacks marked only 11.7% of the total security hacks.

Gu spotted that the loss has significantly increased from the losses recorded in the first quarter of 2023. While the reported losses in 2023 Q1 amounted to about $18.8 million, the recently reported loss in compromised private keys marks an increase of 1,171%.

In addition, the total loss of more than $502 million represents an increase of 54% compared to the loss of $326 million experienced in last year’s first quarter. However, the value marks a slight decrease of 3.8% from 2023’s Q4 losses, which amounted to $522 million.

Notably, phishing scams were the highest-volume attack in Q1, causing a loss of $64 million. With 47 reported cases, code vulnerability attacks led to a loss of $42.6 million. Exit scams also contributed to a loss of $68.3 million from 34 cases.

Source: CertiK

Amid increasing threats and vulnerabilities, Gu guided the community with the security measures that could help them remain immune to the attacks. He stated that the implementation of multisig wallets and multiparty computation could significantly restrict attacks by enhancing security.

The post Q1 Report: $502M Lost in Security Attacks, $239M in Private Key Compromises appeared first on Coin Edition.

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