Ethereum

Multichain

Discord

Mixin

<div class="cryptonews"> 
 <p class="is-style-lead">Crypto projects experienced a significant increase in financial losses during Q3 2023, amounting to $685.5 million, driven largely by major exploits on key cross-chain protocols.</p> 
 <p>The third quarter of 2023 saw a significant financial setback for the crypto industry, with reported losses amounting to $685.5 million. According to a study released today from web3 bug bounty platform Immunefi, these Q3 losses have surged by 59.9% compared to the $428.7 million recorded in Q2. Year-over-year, incidents rose by a staggering 153%.</p> 
 <p>Of the Q3 setbacks, notable exploits on cross-chain protocols – Mixin Network and Multichain – constituted almost half the total <a rel="noopener noreferrer nofollow" title="losses" href="https://thebittimes.com/tag/losses.html">losses</a>. These two incidents led to a loss of $326 million, with Mixin Network’s unfortunate $200 million exploit in September and Multichain’s loss of $126 million in July.</p> 
 <p>Mitchell Amador, Immunefi’s CEO, highlighted that this quarter marked the highest loss for the year, accentuating the influence of state-backed actors. </p> 
 <p>Furthermore, the North Korean-supported Lazarus Group, suspected of orchestrating attacks on platforms like CoinEx, Alphapo, Stake, and CoinsPaid, managed to abscond with a total of $208.6 million, which constitutes 30% of Q3 <a rel="noopener noreferrer nofollow" title="losses" href="https://thebittimes.com/tag/losses.html">losses</a>.</p> 
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 <p>In terms of network vulnerability, Ethereum (ETH) bore the brunt, registering 42.7% of the <a rel="noopener noreferrer nofollow" title="losses" href="https://thebittimes.com/tag/losses.html">losses</a> across 35 incidents. BNB Chain and the Coinbase-incubated layer-2 network Base also saw significant <a rel="noopener noreferrer nofollow" title="losses" href="https://thebittimes.com/tag/losses.html">losses</a>, with the latter experiencing <a rel="noopener noreferrer nofollow" title="losses" href="https://thebittimes.com/tag/losses.html">losses</a> in projects like LeetSwap, SwirlLend, Magnate Finance, and RocketSwap since its launch on Aug. 9.</p> 
 <figure class="wp-block-image size-large"> <picture decoding="async" class="wp-image-14199889"> 
   <source type="image/webp" srcset="https://cdn.thebittimes.com/images/2023/10/03/041615058c28418a700d79c0dfd8b7a2.webp.webp"> 
   <img decoding="async" width="1024" height="519" src="https://cdn.thebittimes.com/images/2023/10/03/041615058c28418a700d79c0dfd8b7a2.webp" alt="Crypto losses reach $685m in Q3, amount to $1.3b in 2023 - 1"> 
  </picture> 
  <figcaption class="wp-element-caption">
    The crypto industry <a rel="noopener noreferrer nofollow" title="losses" href="https://thebittimes.com/tag/losses.html">losses</a> in Q3 2023 | Source: Immunefi 
  </figcaption> 
 </figure> 
 <p>Decentralized finance (defi) platforms appear to be the primary targets, incurring $499.8 million (72.9% of Q3 <a rel="noopener noreferrer nofollow" title="losses" href="https://thebittimes.com/tag/losses.html">losses</a>), which is an 18.5% rise year-over-year. In stark contrast, centralized platforms reported <a rel="noopener noreferrer nofollow" title="losses" href="https://thebittimes.com/tag/losses.html">losses</a> amounting to $185.7 million, marking a concerning 3,400% increase from Q3 of the previous year.</p> 
 <p>Recovery has been minimal but noteworthy: $61.2 million has been reclaimed from six incidents, a mere 8.9% of Q3 <a rel="noopener noreferrer nofollow" title="losses" href="https://thebittimes.com/tag/losses.html">losses</a>. Among these, Curve Finance was successful in retrieving $5.3 million out of the $24 million taken. Mixin Network’s proactive measure to offer a $20 million “bug bounty” for the return of their stolen funds is still pending.</p> 
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<p>Source: <a rel="noopener noreferrer nofollow" target="_blank" href="https://thebittimes.com/crypto-losses-reach-685m-in-q3-amount-to-1-3b-in-2023-tbt64853.html">https://thebittimes.com/crypto-losses-reach-685m-in-q3-amount-to-1-3b-in-2023-tbt64853.html</a></p>

Crypto losses reach $685m in Q3, amount to $1.3b in 2023

TheBitTimes

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