In the first quarter, losses from crypto hacks and scams amounted to a staggering 336 million Dollars

Crypto News– During the first quarter, the crypto industry suffered significant losses totaling $336.3 million due to hacks and scams, as revealed by the latest report from Immunefi, a web3 bug bounty and security services platform.

In the first quarter, losses from crypto hacks and scams amounted to a staggering 336 million Dollars

The decentralized finance (DeFi) sector, with nearly $100 billion locked in its protocols, remained a prime target for hackers, accounting for all the exploits identified by Immunefi in Q1, contrasting sharply with centralized (CeFi) platforms, which reported zero exploits.

Notably, the bulk of the losses, comprising 43% of the total, stemmed from just two projects, amounting to a combined $144.5 million. The largest attack, totaling $81.7 million, targeted the cross-chain bridge protocol Orbit Bridge during New Year’s celebrations. January marked the highest monthly losses of the quarter, reaching $133 million.

Closing the quarter, the second-largest attack occurred with a $62 million exploit of the Blast-based NFT game Munchables. Fortunately, the funds were swiftly recovered within 24 hours after the hacker agreed to surrender the private keys to the wallet containing Munchables‘ assets.

Despite the significant losses, there was a silver lining as $73.9 million (22% of the stolen funds) was successfully recovered from seven of the exploits. Moreover, there was a notable decline in the number of attacks, dropping by 17.6% from 74 in Q1 2023 to 61 in Q1 this year.