DeFi Hackers Return $100 Million to Platforms
Last month, hackers gained $657 million from 44 DeFi exploits. However, they returned about $100 million to a few platforms.
The crypto industry saw the highest number of DeFi hacks last month, making it a spooky time for many investors. However, some believe that this is simply a sign of the growing popularity of DeFi protocols and that the industry will continue to grow despite these hacks.
October was expected to be a month of growth for the cryptocurrency industry, but it quickly turned into Hacktober as cyber criminals attacked and stole hundreds of millions of dollars from top projects. This has been a major setback for the crypto industry, and has raised serious questions about the security of digital assets.
Hackers Steal $760 Million From DeFi Protocols
As the blockchain security company PeckShield noted in a recent tweet, October was the biggest month for hacking activities this year. A total of 44 exploits impacted 53 protocols in the DeFi market, resulting in hackers netting a total of $760.2 million. This is a concerning trend that needs to be addressed in order to ensure the safety and security of the blockchain ecosystem.
It's no surprise that the biggest amount of funds stolen in the recent spate of cryptocurrency hacks came from the BNB Chain exploit. With hackers wiping a whopping $586 million from the blockchain network, it's clear that this was a major heist. However, it's not the only one – the Solana-based crypto lender Mango Markets was also exploited for $100 million. While these hacks are certainly devastating, they also highlight the need for improved security in the cryptocurrency space.
It's a tough pill to swallow when you realize that hackers have stolen $15.8 million from the crypto vesting platform, Team Finance. What's even worse is that they took advantage of a bug in the Version 2 to Version 3 migration on the protocol. This just goes to show that no system is safe from determined hackers.
$100 Million in Stolen Funds Recovered
It's good news that hackers have already returned some of the stolen funds to the platforms they exploited. However, the losses are still significant. We hope that this will be a wake-up call for companies to improve their security measures and protect their customers' data better.
#PeckShieldAlert ~44 exploits (53 protocols affected) grabbed ~$760.2M in Oct. 2022, and ~$100M already returned the exploited protocols (Total loss: $657.2M)
As of October 2022, the stolen funds (~$3B) in 2022 “doubled” last year’s loss pic.twitter.com/mKZAjVk7UU
— PeckShieldAlert (@PeckShieldAlert) October 31, 2022
The Mango Markets hacker, Avraham Eisenburg, may believe that his actions were legal, but they caused serious damage to the company. His exploit put customer data at risk and caused the company to lose thousands of dollars. This type of behaviour is not acceptable and will not be tolerated.
It's great news that Mango was able to reach an agreement with Eisenburg and that the community was able to have a say in the process. This outcome is a win-win for everyone involved, and it sets a strong precedent for future negotiations.
$3B Stolen From DeFi in 2022 More Than Doubles 2021 Losses
It's clear that hackers are becoming more and more sophisticated, and they're reaping the rewards. With crypto assets worth $3 billion already stolen this year, it's double the amount lost in 2021. This trend is only going to continue, so we need to be extra vigilant in protecting our digital assets.
It's been a tough year for DeFi protocols, with the total value locked (TVL) falling dramatically from over $150 billion at the start of the year to just $56 billion. However, there are signs that the DeFi sector is starting to turn around, with TVL beginning to increase in recent weeks. With new protocols and projects launching all the time, the future of DeFi looks bright.
The post Hacktober Finished With $657 Million Losses From Crypto Exploits appeared first on CryptoPotato. As the world's largest digital currency by market capitalization, Bitcoin is no stranger to hacks and security breaches.