Crypto hacks falling in Q1 is but a ‘temporary reprieve’ — Blockchain firm

The crypto community is being advised not to let their guard down despite a significant decrease in crypto hacks throughout the very first quarter of 2023– with one company cautioning it is most likely a “temporary reprieve, rather than a long-lasting pattern.” 2022 was the greatest year for crypto hacking in history, with an estimated $3.8 billion taken, mainly from decentralized finance (DeFi) protocols and North Korea-linked attackers, according to a report from Chainalysis earlier this year.However, this number appears to have considerably decreased in the first quarter of 2023. According to a May 21 report by TRM Labs, the amount stolen through crypto hacks in Q1 2023 “was less than any other quarter in 2022.” Graph showing hacks and exploits from Q1 2022 – Q1 2023. Source: TRM LabsIt was also noted that the typical hack size dropped nearly 65% compared to the prior year period.” The typical hack size also took a hit in Q1 2023 — to USD 10.5 million from nearly USD 30 million in the very same quarter of 2022, even as the number of incidents was comparable (around 40).” Despite the drop, history recommends crypto users should not get complacent. Crypto hacks fell substantially in Q3 2022, right before “a record-setting variety of hacks” in Q4 which “turned 2022 into a record year,” kept in mind TRM Labs.” Unfortunately, this slowdown is most likely a temporary reprieve instead of a long-term pattern” it noted, including that just a couple of massive attacks could be adequate to tip the scales again.While it was noted that “there is nobody apparent description for the lull,” TRM Labs recommended the sanctioning of cryptocurrency mixer Tornado Cash by the U.S. Treasury, and the arrest and charge of Mango Markets exploiter Avraham Eisenberg might have prevented potential hackers.Related: Developers need to stop crypto hackers or face policy in 2023In January, blockchain security company Certik told Cointelegraph that it does not” prepare for a break in exploits, flash loans or exit frauds.” It noted the probability of” more efforts from hackers targeting bridges in 2023.” Such bridges accounted for 6 of the 10 largest exploits in 2022, which saw around$ 1.4 billion stolen.Magazine: Should crypto tasks ever negotiate with hackers? Most likely