Will 2024 be the year of cryptocurrency robbery? Trends certainly suggest so!

In an era when cryptocurrencies have become as valuable as traditional currencies, the shadow of cybercrime over the burgeoning cryptocurrency industry has never been greater. In a recent incident, cryptocurrency gaming platform PlayDapp experienced a breach that resulted in the loss of $290 million worth of PLA tokens, based on their market value at the time of theft.

Crypto Heist January-February 2023 vs January-February 2024

Comparitech’s data shines a stark light on this growing threat, revealing that the UK is now the global epicenter of cryptocurrency-related criminal activity, accounting for a whopping 29% of all cryptocurrency robberies among the top five countries by crime location. give. This alarming trend has been highlighted by the astronomical theft of $11.4 billion worth of cryptocurrency since 2011, with an alarming increase in the frequency and sophistication of these digital robberies. As the cryptocurrency community grapples with the reality of these losses, the urgent need for enhanced security measures and international cooperation to protect digital assets has never been clearer.

Top 5 countries with cryptocurrency extortion

Philip Hoey, Director of CoinJournal, expressed deep concern over these revelations and emphasized the urgent need for strengthened security measures and global cooperation to combat the growing threat.

“This data shows a troubling trend for the cryptocurrency industry,” Hoey said. “This not only highlights the need for enhanced security measures, but also the need for international cooperation to address this issue.”

In fact, statistics paint a bleak picture of the current situation. January 2024 saw an astounding 713% increase in the amount of stolen cryptocurrency compared to the previous year, and February 2024 experienced a similarly dramatic surge of 710% compared to the previous year. The exponential rise in cryptocurrency crime highlights the growing boldness and sophistication of attackers exploiting vulnerabilities within the digital ecosystem.

“As we witness the evolution of digital finance, it is essential that we also evolve strategies to protect it,” Hoey argued. “This includes strengthening security measures, promoting user education, and fostering international cooperation to more effectively deter and respond to cryptocurrency crime.”

Cryptocurrency Heists by Year

Digging deeper into the data, the study shows a serious increase in cryptocurrency theft over the years. The exponential increase in illicit activity, from $2.3 million stolen in 2011 to a staggering $3.5 billion in 2022, reflects the rapid expansion of the cryptocurrency market.

In particular, the UK leads the way with 22 robberies, followed by Japan and Lithuania with 14 each, followed closely by China and New Zealand. The distribution of cryptocurrency crime across these regions highlights the global nature of the threat and the need for a coordinated response on an international scale.

As the appeal of cryptocurrencies continues to grow, so does the specter of cybercrime. As the industry grapples with these challenges, the need to take proactive steps to protect digital assets and maintain investor trust has never been more urgent. The road ahead will require a joint effort from regulators, industry stakeholders, and law enforcement to stem the tide of cryptocurrency-related crime and maintain the integrity of the financial system.

Also Read: Cryptocurrency Industry Will Lose Over $1.3 Billion in 2023 Due to Hacks and Frauds