November has emerged as the month with the highest cryptocurrency losses in 2023, according to a report from Immunefi, the leading bug bounty platform in the Web3 space. The report details over $343 million lost in November alone, marking a significant 15.4x increase from the previous month’s losses of $22 million.
Year-to-Date Crypto Carnage: $1.75B In Losses
The cumulative losses for the year, from January to November, now stand at a daunting $1 billion ($1,753,707,812). The November figures, fueled by a spike in high-profile attacks, highlight the vulnerability of the crypto ecosystem.
CeFi, or centralized finance, took the brunt of the assaults in November, constituting 53.8% of the total losses, while decentralized finance (DeFi) accounted for the remaining 46.2%. Noteworthy breaches on platforms like Poloniex, HTX Exchange, and Kronos Research propelled this shift in focus.
Hacks remained the primary culprit behind the losses, overshadowing frauds and scams. In November 2023, a staggering $335,574,150 was lost due to hacks, making up 97.8% of the total losses. Fraud, on the other hand, accounted for a mere 2.2%, totaling $7,464,660.
The two most targeted blockchain networks, BNB Chain and Ethereum, bore the brunt of the attacks in November, representing more than half of the total losses across targeted chains at 83%. BNB Chain faced 22 incidents, constituting 53.7% of the losses, while Ethereum witnessed 12 incidents, representing 29.3%.
The detailed breakdown of losses reveals that DeFi suffered $158,638,810 in November across 37 incidents, whereas CeFi recorded losses of $184,400,000 across just four incidents.
Looking at the broader picture, the crypto ecosystem has witnessed losses year-to-date across 296 incidents. November now holds the record for the highest monthly losses, followed closely by September with $340 million and July with $320 million.
However, the need for enhanced security measures and proactive risk management becomes increasingly evident as the crypto industry grapples with these mounting challenges. Investors and stakeholders are urged to remain vigilant in the face of evolving threats to safeguard the integrity of the burgeoning digital asset space.
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