$2.2 billion in crypto stolen in 2024, North Korea largely to blame

$2.2 billion worth of crypto was stolen from crypto platforms in 2024, Chainalysis has reported. It is the fifth year in the past decade where more than $1 billion has been stolen, the other years where this mark was reached were 2018, 2021, 2022, and 2023.

One interesting thing Chainalysis saw change this year was where crypto was being stolen from. In previous years and the first quarter of 2024, DeFi (decentralized finance) platforms were prime targets for crypto thefts. During Q2 and Q3, however, the focus moved to centralized platforms. Some notable hacks were on the platforms DMM Bitcoin and WazirX where $305 million and $234.9 million.

With more attacks on centralized platforms, Chainalysis highlighted the importance of private key security. A huge 43.8% of hacks were due to the compromise of private keys, giving hackers access to the funds. It said that centralized platforms have to take private key security seriously to prevent thefts.

Another notable aspect of crypto theft is the part North Korea has been playing. The closed country managed to steal $1.34 billion in crypto assets in 2024 from 47 incidents. This is 61% of all the crypto stolen this year and the incidents made up 20% of all incidents. Chainalysis says that the country is sophisticated and relentless when it comes to crypto theft and uses its ill-gotten gains to develop nuclear weapons and ballistic missiles.

With Bitcoin's price hitting new highs in recent weeks, crypto hacks become more appealing to criminals looking to make money. For this reason, platforms that people trust need to do everything to bolster their security to prevent hacks.

Chainalysis believes that as crypto regulatory frameworks continue to develop, more attention will be brought to the security measures platforms put in place. By working with law enforcement and putting enough resources into responding to hacks, Chainalysis says the industry can become more trusted.

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