Crypto Heists of 2024: The Biggest Losses of the Year
Introduction
As the year comes to a close, the cryptocurrency industry is grappling with the aftermath of a record-breaking year of hacks and thefts. Despite the efforts of blockchain intelligence firms and law enforcement agencies, hackers have continued to rake in billions of dollars from crypto exploits. In this article, we will take a look at the biggest crypto heists of 2024, and explore the methods used by hackers to carry out these attacks.
DMM Bitcoin’s $308 Million
In May, Japanese crypto exchange DMM Bitcoin was targeted by hackers who made off with over 4,500 BTC, worth $308 million at the time. The exact method used by the hackers is still unclear, but TRM Labs reported that stolen private keys were a plausible explanation.
The exchange is still in the process of shutting down and transferring customer accounts to another exchange, SBI VC Trade, which is taking over its assets.
PlayDapp’s $290 Million
In February, hackers targeted the crypto gaming platform PlayDapp twice, exploiting a private key vulnerability to steal $290 million in PLA tokens. The attackers ignored a $1 million white hat reward to return the stolen funds, and the funds are still missing to this day.
WazirX’s $235 Million
In June, Indian crypto exchange WazirX was targeted by hackers who stole close to $235 million. The exchange suspended all withdrawals, leaving users unable to access their funds. Elliptic reported that the attack was linked to North Korea.
WazirX’s parent company, Zettai Pte Ltd, secured a four-month moratorium from the Singapore High Court in August to get its finances in order. The exchange is still in the process of "rebalancing tokens" and clients will soon be informed on the next steps to repay creditors.
Ripple Co-Founder Chris Larsen’s $112.5 Million
In January, hackers targeted Ripple co-founder and Executive Chairman Chris Larsen’s XRP stash, draining over $80 million from the cross-chain bridge project Orbit Chain. The stolen funds were then moved to coin mixer Tornado Cash.
BtcTurk’s $54 Million
In June, hackers targeted the Turkish crypto exchange BtCTurk, making away with $54 million in tokens. The exchange reassured users that most funds, kept in cold storage, were safe. Binance CEO Richard Teng later announced that his exchange had frozen $5.3 million in stolen funds to assist BtcTurk’s efforts.
Radiant Capital’s $50 Million
In October, hackers hit DeFi project Radiant Capital in "one of the most sophisticated hacks ever recorded in DeFi," making away with $50 million in tokens. The breach happened after a Radiant developer received a Telegram message from what appeared to be a former contractor, containing a PDF that delivered malware and allowed hackers to steal USDT, USDC, and ARB tokens.
U.S. Government’s $20 Million
In October, hackers even targeted the U.S. government, stealing over $20 million worth of stablecoins and Ethereum from a government wallet containing funds seized from criminals. The crypto in question was tied to a previous 2016 hack of the Bitfinex exchange.
Conclusion
The crypto heists of 2024 have left the industry reeling, with billions of dollars lost to hackers. As the year comes to a close, it is clear that the problem of crypto theft is far from being solved. In the next section, we will answer some of the most frequently asked questions about these attacks.
FAQs
Q: What is the most common method used by hackers to carry out crypto heists?
A: The most common method used by hackers to carry out crypto heists is the exploitation of private keys and vulnerabilities in smart contracts.
Q: What is the role of blockchain intelligence firms in preventing crypto theft?
A: Blockchain intelligence firms play a crucial role in preventing crypto theft by analyzing blockchain transactions and identifying potential security threats.
Q: What is the impact of crypto theft on the cryptocurrency industry?
A: Crypto theft has a significant impact on the cryptocurrency industry, leading to losses of billions of dollars and undermining confidence in the sector.
Q: What can be done to prevent crypto theft?
A: To prevent crypto theft, exchanges and DeFi protocols must implement robust security measures, including multi-sig wallets and regular security audits. Users must also take steps to secure their own accounts, such as using strong passwords and enabling two-factor authentication.
