How did Crypto Security Incident Losses increase 96% y/y in Q1 2025?

• Losses from crypto security incidents in the first quarter almost doubled compared to the first quarter of 2024.

• The continued advantage of so-called access control attacks has sparked concerns.

• Behind the surprising number of hacks in Q1 was at least one positive trend.

The cryptocurrency industry is not accustomed to hacking and scams, but Q1 is particularly rough and could be putting it gently.

$2 billion.

According to Tuesday’s security, it’s how much it was lost in the first quarter crypto security incident. Report Web3 security costume from Hacken. In the context, this figure represents a 96% increase over what the industry lost in the first quarter of 2024, roughly equivalent to the $2.25 billion lost throughout 2024.

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Of the $2 billion lost in the first quarter, more than $1.6 billion was lost in so-called access control exploits, more than $300 million was lost in lagpull, more than $96 million was lost in phishing scams, and more than $29 million was lost in smart contract vulnerabilities.

Access Control Exploits’ advantage is important as it has led to its biggest exploit for the third consecutive quarter.

Access Control exploits target bad actors who are targeting the infrastructure surrounding projects like website front-ends to access and steal user funds. The last three quarters have proven to be particularly effective at targeting safe multi-sig crypto wallets.

Trend: BlackRock is calling the year of alternative assets in 2025. One NYC company quietly built a group of over 60,000 investors. They previously participated in ALT asset classes exclusively for billionaires, such as Bezos and Gates.

As Hacken emphasized, access control was behind exploits targeting secure multisigs 235 million dollars Wajirux feat The third quarter of 2024 used $55 million in radioactive capital for the fourth quarter of 2024. The infamous $1.5 billion Bibit Hack The first quarter was the biggest abuse in history, the quarter.

According to Hacken, this trend emphasized that it is as unsecured as the smart contracts behind the wallets, and the surrounding infrastructure around these multisigs. The security practices proposed by the company included implementing human-readable signatures to ensure that the signers can clearly see details of transactions they have agreed to, protecting off-chain components such as web interfaces, and promoting operational discipline between signers.