Hackers Stole Over $1.22 Billion From DeFi Market In The First Quarter Of 2022.

According to bug bounty platform Immunefi, the DeFi market lost over $1.22 billion to hackers in the first three months of 2022 alone.

This is roughly eight times the $154 million lost in the first quarter of 2021.

Since the beginning of 2021, DeFi has developed significantly, and hackers continue to abuse the sector. For cybercriminals, new initiatives with poorer security audits are tempting targets.

The majority of the hacks, according to Immunefi, were caused by a lack of security. They also predict the number of assaults to rise in the future.

 Mitchell Amador, CEO and founder of Immunefi, said:

“We should expect these types of [sophisticated] attacks to continue to increase, as more and more criminal organizations build DeFi-hacking skills in-house. Furthermore, as DeFi gets bigger and bigger, these kinds of attacks become more and more lucrative,”

The total value locked across numerous smart contracts climbed from $80 billion this time last year to $227.84 billion, according to data aggregate Defi Llama. And, as a result of the rising popularity of non-fungible token (NFT) and DeFi applications, transaction costs on Ethereum, the most popular blockchain in the field, have risen.

The Ronin Network took the worst of the damage, losing $625 million in a cyberattack at the end of March. Wormhole, an Ethereum and Solana bridge, was the next largest casualty in February, losing approximately $320 million.

Because of the high number of hacks in the DeFi field and its rapid expansion, projects must focus more on protecting their smart contracts. This has been a guideline since the beginning of the space, but not all projects have made it a priority.

Third-party audits of smart contracts and crypto insurance plans are two examples of solutions. The latter makes it simpler to reimburse hacking victims, while an audit helps to ensure security.

Join CoinCu Telegram to keep track of news: https://t.me/coincunews

Follow CoinCu Youtube Channel | Follow CoinCu Facebook page

Patrick

CoinCu News