The Ongoing Battle Against Cybercrime in Cryptocurrency
The ongoing battle against cybercriminals in the cryptocurrency sector shows no signs of weakening, with industry experts warning that hackers continue to find ways to exploit vulnerabilities, often stemming from human error. Ronghui Gu, a computer science professor at Columbia University and co-founder of the blockchain security firm CertiK, highlighted this persistent threat during an appearance on Cointelegraph’s Chain Reaction show.
“It’s an endless conflict. While cybersecurity measures improve, attackers merely need to find one weak point to penetrate a protocol. There are still billions to be lost, and even stronger countermeasures will not deter them completely.”
Recent Trends in Crypto Hacks
In the first half of 2025 alone, the amount lost to crypto hacks and exploits surged to $2.47 billion, which is nearly a 3% rise from the total losses of $2.4 billion recorded for all of 2024. Notably, the substantial loss primarily came from a singular event: the Bybit hacking incident on February 21, where $1.4 billion was stolen, marking an unprecedented breach in the crypto realm.
Despite a decrease in the number of hacks in the second quarter, with 144 incidents resulting in $800 million lost (a 52% reduction from the first quarter), the threat remains ever-present, according to CertiK’s findings.
Shifting Tactics of Hackers
Gu elaborated on the shifting tactics of hackers, suggesting that as blockchain systems become more fortified, bad actors may pivot to targeting the human element instead. He stated:
“When blockchain networks tighten their defenses, the focus of attacks might shift to individuals with access, like those holding private keys.”
Recent trends underscore this shift; around half of the incidents in 2024 involved operational risks including compromised private keys.
The Rise of Phishing Scams
Phishing scams, a form of social engineering, exemplify this trend. Several cases this year have demonstrated how quickly a victim can fall prey to deception. For instance, an unfortunate investor lost $3 million by inadvertently approving a malicious blockchain transaction due to insufficient scrutiny of the wallet address involved. Similarly, just days earlier, another individual lost over $900,000 in a sophisticated phishing scheme that enabled attackers to drain their wallet without immediate detection.
The continuous evolution of these scams highlights the critical importance of enhancing user awareness and security practices in the crypto space.
