Immunefi reports that in the first quarter of 2024, the cryptocurrency industry’s losses from web3 hacks and scams decreased by 23% as compared to the same period the previous year.
TakeAway Points:
- Web3 losses in the first quarter were due to fraud and hacking declines.
- SBF-backed UK NGO for effective altruism to shut down.
- B3 in Brazil has received approval to trade Bitcoin futures.
Crypto Losses To Web3 Hacks
Crypto industry losses to web3 hacks and scams declined 23% in the first quarter of 2024, compared with the year-earlier period, according to Immunefi.
A report from Immunefi, a bug bounty and security services platform for web3, said that while more than $336 million was lost in Q1, the same period in 2023 saw more than $437 million in such losses.
Hacks continued to be the main cause of losses at about 96%, as scams accounted for 4% of the total losses. DeFi, with almost $100 billion of total value locked in web3 protocols, was the main target of successful exploits.
“While it’s positive that overall losses have decreased, it’s essential to note that DeFi faced significant challenges, accounting for 100% of total losses in Q1 2024,” Immunefi founder and CEO Mitchell Amador said. “Particularly, the ecosystem witnessed a considerable volume of losses due to private key compromises, emphasising the critical need to secure both code and protocol infrastructure.”
The two most targeted chains were Ethereum and BNB Chain. Ethereum suffered the most individual attacks with 33 incidents, followed by BNB Chain with 14, the report said.
The two biggest exploits were conducted against Orbit Bridge, with about $82 million stolen, and Munchables at $63 million. These two accounted for 43% of the first-quarter losses.
About $74 million, or 22%, of the stolen funds were recovered, Immunefi said, including all that was taken from Munchables, an NFT game on the Ethereum layer 2 Blast.
SBF-backed UK Effective Altruism Charity To Close
A British effective altruism charity that was backed by jailed crypto fraudster Sam Bankman-Fried will shutter its operations in the wake of FTX’s collapse, The Telegraph reported.
Effective Ventures UK, which in 2022 had about $175 million in income, will wind down after spinning off some of its main projects, the report said.
The charity will also be selling Wytham Abbey, a 15th-century manor it bought to host philanthropic workshops and conferences.
EV chief Rob Gledhill said: “This project’s runway will run out at the end of April. After this time, the project will cease operations, and EV UK will oversee the sale of the property.”
Followers of effective altruism, which is based on the ideas of Oxford philosopher William MacAskill, are called to service in causes including animal welfare, tackling risks to human extinction, or preventing dangerous artificial intelligence, the report said.
Brazil’s B3 Receives Approval To Provide Futures On Bitcoin
Brazilian exchange operator B3 said it was greenlit by the country’s securities regulator to offer Bitcoin futures, Reuters reported.
B3 said that while trading was scheduled to start on April 17, the date was subject to change.
“The launch meets the demand for a derivative that allows a hedge against Bitcoin’s price fluctuations or a directional exposure to the asset,” Felipe Goncalves, B3 executive said.
