• TRM Labs data showed hackers looted crypto valued at $1.38 billion between Jan. 1 and June 24, more than double the $657 million during the same period a year ago.

• Top crypto hacks 2024 include private key and seed phrase compromises.

• This year’s largest heist netted more than $300 million worth of bitcoin from Japanese crypto exchange DMM Bitcoin.

Hackers more than doubled their cryptocurrency spoils in the first half of 2024 compared with a year ago, a report from blockchain research firm TRM Labs showed. The TRM Labs crypto report indicated hackers looted crypto valued at $1.38 billion between Jan.

1 and June 24, more than double the $657 million during the same period a year ago. Like last year, a handful of large attacks drove the increase in plundered crypto, with the top five hacks accounting for 70% of the amount stolen in the year’s first half.

Growing Sophistication in Crypto Hacks 2024

The surge in cryptocurrency thefts can be attributed to the increasing sophistication of attack vectors employed by hackers. In 2024, private key and seed phrase compromises remained the predominant breach methods.

These attack vectors exploit vulnerabilities in storing and managing private keys, which are crucial for accessing and transferring cryptocurrencies. Sophisticated phishing attacks and social engineering tactics have also become more prevalent, tricking users into revealing their credentials or installing malicious software to capture sensitive information.

While the crypto ecosystem has seen significant advancements in security measures, the continuous evolution of hacking techniques poses substantial challenges. Cybersecurity experts emphasize the importance of robust security protocols, including hardware wallets, multi-factor authentication, and regular security audits, to safeguard digital assets.

Despite these precautions, the cat-and-mouse game between hackers and security professionals continues, underscoring the need for ongoing vigilance and innovation in cryptocurrency security.

Top attack vectors in 2024 include private key and seed phrase compromises, said TRM Labs. A seed phrase is a sequence of random words that store the information needed to access or recover a crypto wallet.

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This year’s largest heist netted more than $300 million worth of bitcoin from Japanese crypto exchange DMM Bitcoin. Hackers use stolen private keys or address poisoning, where attackers send a small amount of crypto from a wallet with a similar-looking address crafted to mimic yours or your recipient’s to trick the victim into sending funds to the wrong wallet.

Seed Phrase Security Measures

Crypto addresses are long, complex strings of characters that are difficult to memorize or manually enter without making mistakes. TRM Labs said there have not been fundamental changes in the crypto ecosystem’s security that could have contributed to the increase.

It said the number of attacks and attack vectors were similar year over year. However, the firm noted that crypto prices have been higher on average in the first half of this year, which could have contributed to the higher value.

Crypto companies have been frequent targets for crypto hacks 2024 and cyberattacks. Crypto exchange Mt. Gox filed for bankruptcy in 2014 after a series of hacks stole up to 950,000 bitcoins, worth more than $54 billion at today’s prices.

In November, about $115 million was stolen from HTX exchange and Heco Chain, two crypto platforms linked to high-profile entrepreneur Justin Sun.

Crypto firms can combat crypto security hacks in 2024 with a multi-layered defense strategy, including measures like regular security audits and robust encryption, said TRM Labs. It said educating employees and implementing a comprehensive incident response strategy can also help protect companies.

TRM Labs Insights

TRM Labs’ latest crypto security report revealed that hackers have refined their techniques, focusing on private key and seed phrase security compromises. The report highlighted that the largest heist of 2024, the DMM Bitcoin hack, involved sophisticated methods to bypass security measures. This underscores the importance of ongoing vigilance and advanced security protocols.

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TRM Labs emphasized that while the number of attacks remained relatively stable, the increased value of cryptocurrencies in the first half of 2024 made the sector an attractive target for cybercriminals. This trend will likely continue, urging companies to adopt more stringent crypto security measures.

In conclusion, as the crypto market continues to evolve, so do the tactics of cybercriminals. Companies must stay ahead by implementing robust security measures and educating their workforce on potential threats. With the right strategies, businesses can protect their assets and contribute to a safer crypto security ecosystem.