CipherTrace Releases Report Exposing Close to $1 Billion Stolen in Crypto Hacks During 2018

The first nine months of 2018 have proven to be a fluctuating time for the cryptocurrency world. While many people are focusing on the way that the prices have been moving for their favorite tokens, they may not have realized how many hacks and thefts have taken place. A new document from CipherTrace reveals many of those details.

The report is titled “Cryptocurrency Anti-Money Laundering 2018 Q3,” which starts by showing a theft of $927 million from cryptocurrency exchanges, along with other platforms. These losses are substantially higher than what 2017 saw, which only amounted to $266 million.

Based on the average rate and speed that these cybercriminals are working, CipherTrace predicts that the total amount lost in 2018 will be over $1 billion by the end of December.

The biggest of these hacks seems to be with Coincheck, a Japanese exchange that watched over half a billion dollars’ worth of cryptocurrency sneak out under their nose. Other substantial breeches included:

Most of these bigger attacks were enough to get their own headline this year, but the “smaller” thefts were still substantial, ranging from $20 million to $60 million. The total of this group was $166 million, just since the report issued in the second quarter.

The report also says, “This data indicates a pattern of smaller robberies on a regular basis and sophisticated professional cyber thieves who carry out hacks at both the exchange and platform levels by capitalizing on exposed vulnerabilities, as well as by socially engineering employees who work at these companies.”

Some figures were unable to be confirmed at the time of publishing the report, like CoinHoarders $50-million phishing theft. The creators of the paper noted that, if the thefts and figures could be validated, then they would add them to the final report for 2018. Furthermore, there seem to be additional thefts found that were not added, like a $60 million hack that has yet to make it to the public.

About 97% of the thefts of Bitcoin and other cryptocurrencies were moved to platforms that were more lenient with their anti-money laundering protocol. The passive exchanges have been involved with over 380,000 BTC in money laundering.

To help prevent additional thefts, governments around the world are tightening their laws to prevent these issues. However, there are a substantial number of legislators that see the lack of compliance with anti-money laundering laws as the culprit, which they are working to make stricter. CEO of CipherTrace, Dave Jevans, said,

“Different geographies are competing on regulations and trying to become ‘trusted' digital currency hubs in order to grow their economies. We will see the opportunities to launder cryptocurrencies greatly reduced in the coming 18 months as cryptocurrency AML regulations are rolled out globally.”

Tech Bureau, which is the firm in charge of Zaif, has decided to compensate users after a recent hack last month. Bancor, luckily, managed to block one substantial transfer that would’ve been another theft, which means their actual loss is $13.5 million. The potential transfer would’ve involved 2.5 million BNT tokens.

Get Free Email Updates!

*Action* Enter Best Email to Get Trending Crypto News & Bitcoin Market Updates

I will never give away, trade or sell your email address. You can unsubscribe at any time.

Bitcoin Exchange Guide News Team
B.E.G. Editorial Team is a gracious group of giving cryptocurrency advocates and blockchain believers who want to ensure we do our part in spreading digital currency awareness and adoption. We are a team of over forty individuals all working as a collective whole to produce around the clock daily news, reviews and insights regarding all major coin updates, token announcements and new releases. Make sure to read our editorial policies and follow us on Twitter, Join us in Telegram. Stay tuned. #bitcoin

[Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

[Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer


Please enter your comment!
Please enter your name here


Live Bitcoin Price & Latest BTC Charts

Today's Latest Crypto News

Second Half of 3-Yr Bull Market: Ether’s Crazy Run has 90% of its Supply in Profit

This past weekend, the price of Ether went past $400 to as high as about $420, a level last seen in July 2018. This...

Teenage Mastermind Behind the Twitter Hack Owns $3.39 Million in Bitcoin (300 BTC); Bail Set At $725k

The 17-year old Twitter-hack mastermind holds over $3 million in BTC value with only $725,000 set for bail. In a bizarre moment last month, Twitter...

Bitcoin (BTC) Jumped to $100,000 on Binance Futures

There have been several predictions that see Bitcoin hitting a six-digit figure. On Sunday, this became a reality, very briefly, thanks to an algorithm. Bitcoin...

Flash Crash Caused Serious Network Congestion for ETH, ETC, And ERC 20 Tokens on Coinbase

On August 1, the Ethereum's blockchain faced a spike in network transaction fees, causing a backlog in transfers across several exchanges. Coinbase and Binance,...

Bitcoin’s Wild Weekend Reminiscent of 2017 Bull Rally, ‘Higher Highs Ahead in 2020'

This past weekend, bitcoin had a rough time as the largest cryptocurrency made its way past $12,000 to $12,112 in trading just after midnight...

BitcoinExchangeGuide is a hyper-active daily crypto news portal with care in cultivating the cryptocurrency culture with community contributors who help rewrite the bold future of blockchain finance. Subscribe on Google News, see the mission, authors, editorial links policy, investment disclaimer, privacy policy. Got News? Contact us, we are human too. Note: nothing here is financial advice, do your own research thoroughly.

Start Using Crypto Today