A recent report released by Immunefi, a bug bounty platform, reveals that the cryptocurrency industry has experienced a significant decrease in losses resulting from hacks and fraud over the past year.

In the year-to-date period of 2024, there were a total of 108 documented incidents of hacks and rug pulls in the crypto sector. These incidents led to financial losses amounting to $473,229,944, which is 20% less compared to the $595,438,324 lost during the same period in 2023.

Specifically, in May 2024, there were 21 incidents of hacks and fraud, resulting in financial losses of $52,371,900. This amount represents a 12% decrease from the $59,344,389 lost in May 2023 and a 28% decrease from the $72,606,827 lost in April 2024.

The two entities that suffered the biggest financial blows were Gala Games, a crypto gaming project, and SonneFinance, a decentralized lending protocol, losing $21 million and $20 million, respectively.

The report highlights that decentralized finance (DeFi) became the primary target for exploits in terms of funds lost in May 2024, compared to centralized finance (CeFi). This shift was largely driven by high-profile attacks on Gala Games, SonneFinance, ALEX Lab, and Pump.fun. Interestingly, CeFi did not experience any major exploits during this period.

Furthermore, the report reveals that hacks accounted for 96.7% of the total losses in May, while fraud only accounted for 3.3%. There were 14 specific incidents of hacks, resulting in a loss of $50,618,600, whereas there were only 7 fraud events, totaling $1,753,300.

Among the targeted blockchains, Ethereum (ETH) and BNB Chain were the most frequently attacked, making up 62% of the total losses. Ethereum suffered the highest number of individual attacks, with 9 incidents, accounting for 43% of the total losses across targeted chains. BNB Chain experienced 4 incidents, representing 19% of the total. Base, Arbitrum, Solana, TON, Blast, Fantom, Optimism, and Polygon each suffered from 1 incident, accounting for 4.8% each.

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