Losses Decline in May 2024
Despite the ongoing crypto bull run, the industry has faced increased losses from hacks and rug pulls. However, the first five months of 2024 saw a 20% decrease in losses compared to the same period in 2023.
In May 2024 alone, losses reached $52 million, a 12% decrease from May 2023. Notably, Gala Games and SonneFinance accounted for the majority of these losses.
DeFi Projects Targeted
Decentralized finance (DeFi) projects were the primary targets for exploits in May 2024. Centralized finance (CeFi) did not experience any major attacks during this period.
Ethereum and Binance Smart Chain Hit Hard
Ethereum (ETH) and the Binance Smart Chain (BNB) were the most targeted chains, accounting for 62% of the total losses. Ethereum suffered nine incidents, while BNB Chain witnessed four.
Hacks Dominate
Hacks remain the leading cause of losses, accounting for $50 million in May 2024. Fraud incidents, on the other hand, contributed only 3.3% of the total losses.
Security Measures Crucial
The dominance of hacks over fraud highlights the need for stronger security measures. As the crypto market continues to grow, it is essential to prioritize security to protect investor funds and maintain confidence in the industry.
