Don't want to trade it yourself?
Our desk runs DEX portfolios on profit share.
Dragonfly Capital Managing Partner Haseeb Qureshi said on X that on-chain hacking has recently surged, with losses concentrated mainly at smaller protocols with weaker security.
Qureshi said cryptocurrency became a target for attacks earlier than other internet services because it is one of the easiest sectors for cybercriminals to extract financial gains from. Large protocols are strengthening security with AI tools, while smaller protocols are coming under repeated attack, Qureshi added. He said the number of hacks has jumped sharply, but total losses this year are rising at a pace similar to last year, meaning individual incidents are getting smaller as attacks concentrate on small protocols with poor security management. Qureshi also added he believes the same pattern is likely playing out across the broader web.
According to a chart Qureshi shared, the annualized number of monthly hacking incidents was mostly around 100 to 200 last year, but rose to about 560 in August this year. The median loss per hack fell about 49% to $410,000 so far this year from $811,000 last year.