Crypto industry lost $303 million in July — CertiK
Date: 2023-08-02 Author: Karina Ziganova Categories: BLOCKCHAIN
In July, cryptocurrency traders lost $303 million in assets due to exploits and hacker attacks. This was announced by the blockchain firm CertiK.
As a result, July turned out to be the most unprofitable month this year. Approximately $8.7 million worth of assets were withdrawn as a result of the abuse of express loans. They allow traders to borrow unsecured assets using smart contracts instead of third parties.
These types of loans generally pose no threat, however they are sometimes used by attackers to manipulate the price of smaller, less liquid tokens for profit. The most notable example was the Conic Finance DeFi protocol, which withdrew 1,700 Ether (ETH) worth $3.26 million. Damage from exit scams amounted to approximately another $8.6 million.
loss leaders
Of the $303 million this month, investors lost about $285 million as a result of exploits and hacks, including attacks on the Curve Finance protocol by exploiting a vulnerability in the Vyper code. As a result, Curve Finance lost about $52 million worth of digital assets.
In addition, another significant incident was the attack on the Multichain protocol in early July. After losing about $125 million, the project ceased operations and reported that its CEO Zhaojun was detained by Chinese authorities back in May.
July losses set to record for 2023
In July, the crypto industry lost $303 million in assets, while in the first half of 2023, hackers stole approximately $479.4 million. The Euler Labs DeFi protocol ($197 million) and the decentralized wallet Atomic Wallet ($65 million) were by far the leaders in losses. . April turned out to be the most difficult - in a month the attackers stole $ 203.3 million.
In almost all cases, DeFi protocols were hit ($414 million). Most of these attacks were on projects on the Ethereum network, resulting in $287 million in losses.
