- According to insights from blockchain security firm PeckShield, more than 60 attacks occurred between January and March.
- These attacks stole $1.63 billion, with the ByBit hack alone accounting for $1.46 billion of the total.
- In total, centralized exchanges were major targets for attackers and accounted for 94% of the total losses.
The first quarter of the year has been one of the worst ones on record for the crypto industry. Total losses reached $1.63 billion, up 131% from Q1 2024’s $706 million stolen by hackers.
According to insights from blockchain security firm PeckShield, more than 60 attacks occurred between January and March, with centralized exchanges suffering the most damage.
The Bybit Attack and the Extent of the Damage
According to insights from PeckShield in a recent update, most of these losses came from two main incidents. These included the ByBit attack, which accounted for $1.46 billion, and a $69.1 million attack on Phemex.
Together these hacks represented 94% of the total for the quarter, showing a dire need for stronger security measures in the crypto space.
The Bybit hack in particular was one of the largest crypto thefts in history, considering how much it overshadowed the +$600 million Ronin bridge hack from 2022. Analysts say the Bybit attack was highly coordinated, likely using complex hacking methods.
Other major attacks that occurred in February include the $50-million exploit on Infini, a $9.5-million hack on zkLend, and an $8.5-million breach of Ionic, all of which contributed to $126 million in stolen crypto.
March Brings a Decline in Hacks, but Risks Remain
Despite the extent of the hacks through the quarter, March saw a sharp decline in the number of crypto-related hacks. According to a separate report from Immunefi, the total losses for the quarter fell by 97% from February, with only $33 million stolen.
This drop is good news, but attackers may still improve tactics, not signaling a trend. The biggest of these attacks in March was the $13 million exploit on Abracadabra. Money, where the hacker drained 6,260 ETH. Another incident involved Zoth, which suffered an $8.4-million hack.
Experts flagged a March 21 transaction converting stolen Zoth assets to stablecoins. Overall, some of the funds stolen in these attacks saw recoveries, with the 1inch attacker returning 90% of the stolen $5-million.
In total, centralized exchanges were major targets for attackers and accounted for 94% of the total losses. The Binance BNB Chain was also the most exploited blockchain, with 19 separate incidents as opposed to Ethereum, with 15 reported breaches.
