Home News Chainalysis: Crypto scammers hit a record of $14B in 2021

Chainalysis: Crypto scammers hit a record of $14B in 2021

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In 2021, attackers targeting the cryptocurrency industry stole a record $14 billion. The data of the analytical company Chainalysis stated this.

Thus, the attackers’ income from scam projects increased by 82% and amounted to $7.8 billion in cryptocurrencies in 2021.

Analysts noted that in many ways, the development of the decentralized finance (DeFi) segment and hype around it facilitated the growth of fraud in the crypto industry in 2021.

Increase in the use of DeFi protocols for money laundering

Furthermore, hackers stole about $3.2 billion, which is 516% more than in 2020. Attackers stole 72% of this amount from DeFi protocols. Experts also recorded an increase in the use of the latter for money laundering.

In addition, the total volume of cryptocurrency transactions has increased fivefold to $15.8 trillion. This is 567% more than in 2020, analysts said. The company stressed that the growth of the legal use of digital currencies is much higher than the growth of illegal transactions.

Transactions using illegal addresses fell to a record low – they amounted to 0.15% of the total volume.

Rug pull scheme

Chainalysis analysts estimated the damage from the rug pull scheme, which actively spread in the DeFi ecosystem in 2021, at $2.8 billion. This represents 37% of all cryptocurrency fraud revenue compared to just 1% in 2020.

The term “rug pull” refers to situations in which developers abandon projects totally after receiving a large sum of money for a fake crypto or DeFi project.

Recall that earlier, the AnubisDAO (ANKH) project tokensale raised approximately 13,256.4 (~$57.42 million) ETH; using Alchemistcoin’s liquidity bootstrapping protocol (LBP) Copper after launching via Discord channel in October 28. Tokensale positioned itself as a fork of OlympusDAO. It was assumed that ANKH would be distributed after the end of the tokensale, however, a few hours before the sale closed, all liquidity was withdrawn. Since it happened, the price of the project tokens dropped to zero.

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