Baystreet Staff
Hackers stole a record $3.8 billion U.S. of cryptocurrencies in 2022, led by groups from North Korea, according to blockchain analytics firm Chainalysis.
A new report on crypto thefts found that October 2022 was the biggest single month ever for cryptocurrency hacking, with $775.7 million U.S. stolen in 32 separate attacks.
The cryptocurrency market struggled throughout 2022 as risk appetite waned and several high-profile crypto firms filed for bankruptcy. Investors have been hit by big losses and regulators have moved in to regulate the industry.
However, neither sinking prices nor increased regulation of crypto has deterred hackers, said Chainalysis.
North Korea-linked hackers, such as the Lazarus Group, have been the most active, stealing $1.7 billion U.S. worth of crypto last year.
According to the United Nations (U.N.), North Korea has increasingly relied on hacking to fund its missile and nuclear weapons programs, particularly as trade has declined under global sanctions.
U.S. law enforcement agencies seized $30 million U.S. in stolen funds from North Korea-linked hackers in 2022, which is only a drop in the bucket, according to Chainalysis.
Firms involved in “decentralized finance,” or DeFi, were particularly hard hit by hackers in 2022, accounted for 82% of all the cryptocurrency stolen last year.
Despite the ongoing problems, Bitcoin (BTC), Ethereum and other cryptocurrencies are rallying to start the year. The top 100 cryptocurrencies are now up a combined 37% so far in 2023, outpacing gains in both stocks and the price of gold.
