The Global Cryptocurrency Market Lost $670 Million in the Second Quarter

According to a report released on Thursday, the Global Cryptocurrency Market lost at least $670 million in the April-June quarter (Q2), with hacks and scams accounting for 97 percent of the losses.
Crypto losses increased by 52% in the second quarter, from $440 million in the same period last year.

"The majority of these funds was lost by four specific projects, Beanstalk known as a decentralized stablecoin protocol, the Harmony Horizon Bridge, Mirror Protocol, and Fei Protocol," according to data from Immunefi, Web3's leading bug bounty platform.

"In Q2 2022, most of the losses -- 96.92 per cent -- happened as a result of hacks. It is also notable that blackhat hackers are now primarily targeting and exploiting DeFi (decentralised finance), 49 out of 50 instances involved DeFi protocols," the report noted.

The teams at Immunefi protect over $100 billion in users' funds.

"We have reviewed all instances where blackhat hackers have exploited various crypto protocols, as well as cases of alleged fraudulent protocols and founders who have performed a rug pull in Q2 2022," said the company.

In Q2, they discovered 50 such instances, which included both successful and semi-successful hacking attempts, as well as fraud events.