Bitcoin and Cryptocurrency Theft Trends
In 2023, the crypto industry witnessed the highest number of theft incidents annually, with 199 thefts totaling nearly $42 billion in value, according to data from Crystal Intelligence. However, 2022 remains the costliest year by value, with the U.S. leading in the number of incidents. The report highlights the emergence of new criminal typologies and the continuous cycle of law enforcement technologies evolving to combat crypto crimes.
Global Impact of Crypto Scams and Hacks
Crypto scams and hacks have resulted in the loss of nearly $19 billion worth of assets, affecting 55 countries worldwide. The U.S. recorded the highest number of incidents, with stolen funds amounting to almost $984 million, followed by Hong Kong with 15 incidents totaling just under $1.2 billion. These incidents underscore the global reach and financial impact of crypto thefts.
Challenges in Reporting Crypto Theft
Since 2011, there have been around 785 reported crypto theft incidents, encompassing security breaches, hacks of decentralized protocols, and fraud scams. The total stolen amount has reached $19 billion; however, the true scale of unreported incidents could be significantly higher. Blockchain forensics firm Chainalysis revealed that a substantial portion of stolen funds were funneled into decentralized finance in 2023, highlighting the evolving nature of crypto crime and the challenges in tracking phishing activities.
