A recent analysis from the consumer awareness firm Comparitech shows that crypto thefts have already claimed $16.93 million (£13.3m) so far this year, which is over double the amount which was stolen throughout the whole month of January 2023 – $8.37m (£6.6m).

Not to say 2023 was by any means a slow year for crypto heists. In fact, 2023 saw a 42% surge in total reported incidents. However, at the same time, the total monetary value of those heists was halved compared to 2022, likely due to the decrease in value of decentralised finance (DeFi) throughout the year.

The fall in DeFi’s value may have deterred potential attackers, leading to a decrease in the overall financial impact of crypto thefts. However, early this month US regulators approved a Bitcoin exchange-traded fund (ETFs), dragging crypto back into the mainstream. 

While Bitcoin prices have dropped since the announcement, pundits believe the price will begin to climb steadily for the rest of the year since investors who were side-lined for security concerns will now have access through traditional investment avenues. 

Despite 2023 being relatively fruitless for threat actors, some were more strategic with their targets. “2023 also saw one of the top 10 biggest crypto heists of all time,” said Rebecca Moody, head of data research at Comparitech.

“The $200 million exploit on the Mixin Network in September is the tenth-largest crypto hack we’ve recorded. Euler Finance’s flash loan attack of $197 million in March 2023 only just missed out on the top 10, too” 

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According to her, DeFi platforms accounted for over half of the attacks in 2023, with hacks on individual cryptocurrencies comprising 30% of the total.

DeFi platforms accounted for over half of 2023’s attacks (147 in total). It was followed by hacks on individual cryptocurrencies which accounted for 86 heists (30%). 

“Some of the biggest hacks have occurred via private key compromises. This highlights the ongoing vulnerabilities of crypto platforms and how some platforms that advertise themselves as being ‘decentralised’ do in fact have a centralised storage system for private keys,” she said. 

Comparitech’s research also indicates a positive shift in the realm of scams and rug pulls, showing a 25% decline in 2023 compared to 2022.  The number of incidents dropped from 365 to 273, and the value lost in these scams fell by half, decreasing from $1.2 billion in 2022 to $656 million in 2023.