Cryptocurrency users lost more than $3.6 billion in 2024 due to pig butchering crypto fraud.
This reflects a 40% jump over the past year.
According to a report published by Cyvers, pig butchering scams were the most damaging to cryptocurrency users in 2024. Web3 security company announced that a fraud scheme has cost cryptocurrency users $3.6 billion on the Ethereum blockchain.
According to reportsaw a 40% year-over-year increase in cyber fraud. There were 165 incidents, resulting in record losses totaling $2.3 billion.
🚨 $3.6 billion stolen in 2024 pig slaughter scam
🐷This year, the world of cryptocurrencies was shaken by the pig butchering scam. This scam defrauded unsuspecting users of a staggering $3.6 billion. Most of it was Ethereum.
Learn more about @nairametrics at https://t.co/75rZ5fNOUM.These scams…
— 🚨Cyvers Alerts🚨 (@CyversAlerts) December 27, 2024
Fraudsters were manipulating the Ethereum blockchain.
According to Cyvers, it has recorded 150,000 addresses and 800,000 fraud incidents. The main loophole of blockchain was its ease of access.
The scammer paid the victim a total of over $100,000 in small amounts. Access control violations accounted for 67 incidents totaling $1.9 billion worth. Fraudsters also exploited smart contract vulnerabilities in 98 cases worth $456.8 million.
Losses of cryptocurrency users due to scammers increased in 2024. Exchanges that were scammed include DMM exchange, WazirX. Fraudsters defrauded WazirX of $235 million, and DMM exchange lost $305 million. Cyber attackers gained access to DMM Exchange and compromised the private keys of the platform’s Bitcoin hot wallets.
BingX lost $52 million to fraudsters after they accessed the exchange's hot wallet and transferred funds through a different address.
Despite security hurdles, recovery attempts were made to ensure victims received a portion of their funds. Approximately $1.3 billion was recovered and returned to holders in 2024.
In the first quarter of 2024, 53 cases were reported, and in the third quarter a loss of approximately $760 million was recorded, which was the highest loss in 2024. The last quarter had the lowest number of cases and losses.
