BNB Chain, a popular blockchain platform, has lost a whopping $1.64 billion in crypto assets since its launch in 2020, according to a new report from cybersecurity firm Immunefi.
Millions Lost to Hacks and Fraud
The report reveals that over $1.27 billion was stolen in 168 separate hacking incidents, while another $368 million was lost to fraudulent activities in 228 incidents. The biggest losses were attributed to four specific incidents, including attacks on the BNB Chain itself, Venus Protocol, Qubit Finance, and Uranium Finance.
BNB Chain: A Rug Pull Hotspot
Immunefi found that BNB Chain is particularly vulnerable to “rug pulls,” a type of scam where developers create a fake project to lure investors and then run away with their money. In fact, the platform experienced 2.3 times more fraud than Ethereum, the leading smart contract platform.
Losses Peaking in 2021 and 2022
The majority of the losses occurred in 2021 and 2022, with bad actors stealing a total of $911 million during that period. While losses decreased to $165 million in 2023, rug pulls still accounted for a significant 44% of total losses on BNB Chain.
Ethereum’s Better Security
In contrast, Ethereum saw a much lower percentage of losses due to rug pulls, with only 1.7% of total losses in 2023 attributed to this type of scam.
BNB Chain’s Future
Despite these security challenges, BNB, the native token of the BNB Chain, is currently trading at $532, representing a 1.68% increase in the past 24 hours.
It remains to be seen whether BNB Chain can improve its security measures and deter future attacks.
