Losses From Crypto Hacks Jump to $2.2B in 2024, Report Says

December 23, 2024

Funds stolen by hacking cryptocurrency platforms surged 21% from a year ago to $2.2 billion in 2024, a report from blockchain analysis firm Chainalysis showed on Thursday.

The hacking amount exceeded $1 billion for the fourth straight year and the number of incidents rose to 303 from 282 in 2023, it said. Hackers had stolen $1.8 billion in 2023.

The rise in crypto heists comes as bitcoin BTC= jumped 140% this year to surpass $100,000 mark, drawing institutional participation and backing from U.S. President-elect Donald Trump.

“As the digital asset market booms, it is typical to see the illicit use of crypto grow in tandem,” Chainalysis’ cybercrimes research lead Eric Jardine said.

“Countering the proliferation of these crimes — especially fraud — will undoubtedly be a key challenge for the industry in the new year.”

Compromises to private key that controls access to users’ assets accounted for the majority of stolen crypto this year with most of the attacks targeting centralized platforms, the report said.

Among the most notable hacks are the theft of more than $305 million from Japan’s crypto exchange DMM Bitcoin in May and the loss of $235 million from India’s WazirX in July.

Crypto hacking linked to North Korea more than doubled from a year ago to a record high of $1.3 billion in 2024, Chainalysis said.

Cryptocurrency allows North Korea to circumvent international sanctions, the United Nations has said. The country routinely denies involvement in cyber hacking or crypto heists.