Report: Crypto industry losses from hacks in 2022 rise to $3.6 billion

In 2022, the Web3 industry suffered about $3.6 billion in losses from 167 major attacks. This was 47.4% higher than the year before, Beosin researchers said.

🚀We just released the Global Web3 Security Report 2022🚨This report is co-produced by @Beosin_com @BuidlerDAO @LegalDAO_CN & @Footprint_Data 💪

📍Read the text version⏬https://t.co/hOhV5PO2b9
📍Download the full report in PDF⏬https://t.co/5PhD3g9vVq pic.twitter.com/j9PetIwOjM

— Beosin 🛡 Blockchain Security (@Beosin_com) January 5, 2023

More than half of the total losses were due to 12 cross-chain bridge incidents — $1.89 billion. DeFi protocols were attacked 113 times (67.6% of all hacks).

Over the year, serious security incidents occurred across 20 public blockchains. The top three by losses were Ethereum, BNB Chain and Solana. They also lead in the number of attacks, with the Binance network among the leaders here.

Exploitation of vulnerabilities ranked first by both frequency and damage: $1.458 billion lost as a result of 87 exploits.

Experts noted that attacks affected protocols that had undergone audits and those that had not almost equally — 51.5% and 48.5% of hacks, respectively.

Of the stolen funds, about $1.396 billion or 38.7% were sent to the mixing service Tornado Cash.

Projects managed to recover only about 8% of the stolen funds for 2022 — around $289 million.

Global volume of criminal proceeds in the crypto industry over the past year was estimated at $13.76 billion. Attacks and exploits were second in the tally — money-laundering schemes amounted to $7.33 billion. Ponzi schemes accounted for $1 billion in losses, and fraud for $830 million.

Experts counted 243 rug-pull cases totaling $425 million for the year. In about 86.4% of incidents, losses did not exceed $1 million.

rug-pull of $425 million. In about 86.4% of incidents, losses did not exceed $1 million.

Earlier in December, U.S. authorities arrested Avraham Eisenberg for involvement in the attack on the DeFi platform Mango Markets. The losses from the October exploit amounted to $116 million.

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