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- The amount lost by centralized protocols has doubled while DeFi losses dropped
- Losses from CeFi rose to $694 million in 2024 compared to $339 million in 2023
- DeFi losses reduced by 40% compared to 2023, with most funds in both sectors stolen through access control exploits
Blockchain security firm Hacken has revealed that centralized crypto projects lost more funds to hackers than their decentralized counterparts. Hacken noted that DeFi platforms lost 40% less funds while centralized platforms’ losses doubled compared to last year. According to the blockchain security firm, hackers siphoned $2.9 billion from crypto projects in 2024, an indication that malicious actors are always looking for weaknesses on both centralized and decentralized platforms.
Access Control Exploits Netted $1.7 Billion
In its “2024 Web3 Security Report,” Hacken disclosed that most of the funds, $1.72 billion, were stolen through access control exploits “closely tied to private key compromises.” Phishing attacks came in second netting hackers $607.5 million. Malicious actors pocketed another $308.7 million and $192.9 million from smart contract exploits and rug pulls, respectively.
$2.9B lost to Web3 hacks in 2024!
Access control exploits alone stole $1.7B, phishing scams cost $600M, and gaming platforms faced massive $290M breaches. Yet, DeFi losses dropped 40%, and bridge hacks hit an all-time low.
Discover the trends, key threats, and actionable… pic.twitter.com/6uL6lRmPQu
— Hacken
$2.9B lost to Web3 hacks in 2024!
(@hackenclub) Hacken observed that access control exploits keep occurring due to insecure custody of private keys, weaknesses in single signatures, insecure private key backups, and continuous impersonation of wallet providers.
Losses from web3 games and metaverse-focused platforms accounted for 21% of the $2.9 billion, with the PlayDapp attack early this year being the biggest hack in this category. According to Haken, gaming and metaverse hacks “demonstrated a mix of traditional exploit methods and evolving vulnerabilities.”
North Korean Hackers Pocketed 60% of the Funds
The blockchain security firm noted that cross-chain bridges were more reliable this year and only recorded $117 million in losses compared to the $330 million they lost in 2023. Hacken advised web3 firms to focus on security “beyond on-chain protections” to prevent things like DNS hijacking.
Hacken’s report comes a few days after blockchain analysis firm Chainalysis disclosed that over 60% of the funds stolen in 2024 went to North Korean hackers. Chainalysis noted that there were more hacks involving over $50 million, adding that hackers are getting better “and faster at massive exploits.”
With hacks involving centralized platforms on the rise, it’s likely the trend will change in 2025 as more people embrace decentralized protocols.
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