Monday, May 27, 2024

Report: In April 2023, cryptocurrency scams and attacks alarmingly defrauded investors of $103 million.

Crypto Scams, Exploits Alarmingly Stole $103 Million from Investors in April 2023: Report


Hackers and con artists have improved their tactics and are now earning more benefits every day for their criminal actions. They are targeting victims in the cryptocurrency business. According to a brand-new analysis from blockchain research company CertiK, massive amounts of $103 million (or around Rs. 840 crore) were allegedly stolen through cryptocurrency attacks in April 2023. The crypto ecosystem has been the target of dishonest people because one scam might bring in thousands of dollars from investors. Additionally, because crypto transactions are largely anonymous, it is nearly impossible to track down funds that have been stolen.

According to CertiK, exit scams and flash loans are the two types of crypto scams that are most frequently used to extort the most money.

In exit scams, businesses that appear legitimate keep taking payments for whatever good or service they are offering while cancelling orders or requests that have already been accepted. Exit scams, also referred to as “confidence tricks,” were employed in April 2023 to steal $9.3 million (approximately Rs. 75 crore) from the cryptocurrency industry.
In these instances of cyberloot, flash loans, however, brought in more money for scammers and hackers.

By allowing unrestricted borrowing of uncollaterized loans, crypto criminals stole $19.8 million (approximately Rs. 160 crore), according to CertiK’s investigation. In this manner, lenders who require quick loans borrow the money and return it in one transaction, emptying the victims’ accounts.

Crypto Scams, Exploits Alarmingly Stole $103 Million from Investors in April  2023: Report | Technology News

On April 3, several trading bots were exploited, causing a loss of $25.4 million (or around Rs. 210 crore). The theft of $13 million (approximately Rs. 105 crore) from South Korea’s GDAC exchange was followed by the loss of $22 million (about Rs. 180 crore) due to the Bitrue hot wallet exploit.

According to CertiK, hackers and crypto fraudsters stole an estimated $429.7 million (approximately Rs. 3,510 crore) in the final four months of 2023.

After the KuCoin exchange’s Twitter account was briefly hacked on April 24, some users have lost a total of over $22,000 (roughly Rs. 20 lakh).

The number of crimes committed by cryptocurrency scammers increased in India. After breaking into the News24 Twitter account in March, cryptocurrency hackers advertised a bogus Ripple (XRP) stablecoin airdrop event in India. Additionally, these posts provided malicious links for unwary victims to click on and subject themselves to financial risks.

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