Blockchain security company Certik says financial losses from security incidents in the web3 industry exceeded $1.84 billion in 2023.
In his annual web3 security reportAccording to Certik, there were 751 security incidents last year costing a total of $1,840,879,064, a 51% decrease from the $3.7 billion lost in 2022.
A larger percentage of losses are attributed to just ten incidents that accounted for $1.11 billion.
November was the most expensive month with $363.36 million lost in 45 incidents, while the third quarter saw the most losses with 183 hacks, scams and exploits costing $686.558 million.
The report say compromised private keys represent only 6.3% of safety incidents, but these caused the most expensive losses worth $880.89 million in just 47 incidents.
“These compromises, which accounted for nearly 50% of total losses and amounted to $880 million, were a painful reminder of the importance of secure private key management…
Notably, six of the ten most expensive security incidents through 2023 were due to private key compromise.”
The BNB Chain (BNB) had the highest number of security incidents with 387 hacks, scams and exploits costing $134 million. Ethereum (ETH) followed with 224 incidents and $686 million in losses.
The report also says there have been 35 incidents involving multiple chains that cost $799 million in losses, highlighting the challenges associated with conducting cross-chain transactions.
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