2022 was the worst year for crypto fraud and breaches, with 120 different incidents occurring during the year. This was 26 more than the previous year, which equates to an increase of almost 28%.
The most costly crypto scam was by Plus Token, where almost $3 billion worth of Bitcoin and Ethereum was stolen.
BSC was the most stolen coin in 2022, with the currency being stolen a total of 50 times. This was a 72% increase from 2021 when it was stolen just 29 times. The second most commonly stolen coin was ETH at 33 times.
The most common crypto attack was DeFi breaches, happening 167 times, with almost $4 million lost. They were also the most common type of breaches during 2022, with 80 DeFi breaches occuring in 2022 alone.
The most targeted countries for crypto fraud
|
Rank |
Countries |
Breaches |
Value of Breaches |
|
1 |
United States |
13 |
$44,900,000 |
|
2 |
United Kingdom |
11 |
$420,000,000 |
|
3 |
South Korea |
8 |
$158,000,000 |
|
4 |
Japan |
7 |
$1,340,000,000 |
|
5 |
China |
6 |
$1,010,000,000 |
|
5 |
Hong Kong |
6 |
$619,000,000 |
|
7 |
Poland |
5 |
$28,900,000 |
|
7 |
Seychelles |
5 |
$346,000,000 |
|
9 |
Singapore |
4 |
$14,600,000 |
|
9 |
Canada |
4 |
$154,000,000 |
|
9 |
New Zealand |
4 |
$12,400,000 |
Most Expensive Crypto Breaches and Fraud
The interest in crypto has rocketed in the last couple of years, and as a result, more and more people are beginning to invest in cryptocurrency. As the interest rises, companies are developing platforms and finding ways to make crypto more accessible. Some banks around the world are beginning to accept crypto as a currency, and you can even buy Bitcoin with PayPal.
However, this growing interest in crypto can also motivate people in the wrong way. Crypto fraud and scams have been increasing each year, causing people to lose their investments through no fault of their own.
According to experts at CoinJournal, they found out the most costly cases of crypto scams, the most commonly stolen coins, the most common method of scams, the most targeted countries, and how much crypto scams have increased.
In the last few years cryptocurrencies have boomed, attracting a huge number of new investors. However, this growing interest has also caused a growing number of opportunities for scammers.
△ Plus Token Ponzi Amount stolen: $2.9 billion: The most costly crypto scam was by Plus Token, where almost $3 billion worth of Bitcoin and Ethereum was stolen. Plus Token was a Ponzi scheme which was disguised as an investment programme. A Ponzi scheme is a type of fraud which lures new investors to pay off older investors, leading its victims to assume the profits are coming from legitimate business dealings.
△ Thodex Amount stolen: $2.0 billion: Thodex was a global cryptocurrency exchange formed in 2017. In 2021, the trading platform stopped its users from accessing their accounts or withdrawing any funds. Despite statements from the platform itself, a preliminary police report revealed the CEO had allegedly fled from Turkey with $2 billion worth of cryptocurrency, leaving its 700,000 users scammed.
△ Wotoken Amount stolen: $1.0 billion: WoToken was another Ponzi scheme which defrauded $1 billion from more than 700,000 users. WoToken was dubbed ‘Plus Token 2.0’ by the media due to its similarities with the Plus Token scam. It was also revealed that one of the members of WoToken was part of the Plus Token scam.
