PeckShield's Report Unveils Significant Decrease in Cyber Theft and Notable Recovery Success in 2023
Research highlights a 27.78% decrease in cyber theft and significant recovery efforts.
Blockchain security firm PeckShield has reported a significant decrease in cyber theft in 2023, with losses amounting to $2.61 billion, marking a 27.78% decrease from the previous year’s staggering loss of over $3.6 billion.
On its annual report on cyber theft trends, PeckShield highlights that a substantial $674 million has been successfully recovered through negotiations and bounty programs. This recovery rate represents a remarkable increase from the previous year when only $133 million was reclaimed.
The success stories stem from strategic negotiations and bug bounty initiatives launched by crypto firms targeted in these cyberattacks. Collaboration with exchanges, Tether, and law enforcement agencies played a crucial role in these efforts.
PeckShield's comprehensive data analysis points out that 40% of the cyber attacks in 2023 were executed through flash loans. Despite this, decentralized finance (DeFi) remained a primary focus for malicious actors, accounting for 67% of the losses, while centralized finance experienced 33% of the total losses.
The report highlights that malicious actors are diversifying their targets, now including stablecoins. Previously, from 2018 to 2021, Bitcoin was the primary cryptocurrency exploited for illicit transactions. However, in 2022 and 2023, stablecoins have become more prevalent in such activities.