A new report by blockchain intelligence firm TRM reveals that crypto thefts in the first half of 2024 have doubled compared to 2023, with $1.38 billion stolen by June 24. Major hacks constitute 70% of losses, with private key compromises and smart contract exploits as top attack vectors. Crypto projects are advised to adopt comprehensive defense strategies to mitigate risks.

Crypto Thefts Double in 2024: TRM Report Highlights Major Hacks and Security Recommendations

Blockchain intelligence firm TRM published a report on crypto thefts from hacks and exploits in the first half of 2024 on Friday. The report reveals a significant increase in stolen funds, with the amount doubling compared to the same period in 2023.

“The latest numbers from TRM’s threat intelligence team show twice as much money has been stolen in hacks and exploits in the first half of 2024 compared to the same period in 2023,” the firm described, adding:

By June 24, 2024, hackers stole USD 1.38 billion, compared to USD 657 million this time last year.

“Similar to 2023, a small number of large attacks made up the lion’s share of the haul: the top five hacks and exploits accounted for 70% of the total amount stolen so far this year,” the firm continued, adding: “Private key and seed phrase compromises remain a top attack vector in 2024, alongside smart contract exploits and flash loan attacks.”

The largest attack in 2024 involved the theft of over 4,500 BTC from DMM Bitcoin, a Japanese cryptocurrency exchange, worth over $300 million. The exact cause of this attack remains unknown, with potential vectors including stolen private keys or address poisoning.

Monthly thefts in 2024 have exceeded those in 2023, with the median hack being 150% larger, TRM noted. Despite the increase, thefts are still a third below the record year of 2022. The rise in theft volumes is attributed to higher average token prices rather than changes in attack vectors or security fundamentals.

To mitigate such risks, the blockchain intelligence firm advised that crypto projects should implement a multi-layered defense strategy, including regular security audits, robust encryption, multi-signature wallets, secure coding practices, and fostering a security-aware culture. An effective incident response strategy, possibly including bounties for the return of stolen funds, is also crucial. A defense-in-depth approach, involving multiple, redundant security measures, is recommended for optimal protection against breaches.

What do you think about the rise in crypto thefts and the security measures suggested by TRM? Let us know in the comments section below.

Source: news.bitcoin.com.