In the third quarter of 2023, crypto security losses reached a staggering $1.26 billion across 247 incidents, according to blockchain security firm CertiK. This figure marks a significant increase from the $819.4 million reported in Q2, representing a 53.9% rise in losses.
The most notable incident was the $387.5 million hack of the crypto exchange Bitget, which accounted for approximately 31% of the total losses for the quarter. Other major incidents included Liquid Network's $319 million exploit and Tectonic's $120 million theft.
September alone saw losses of about $769 million from 99 security incidents, with nearly 96% of these losses attributed to exploits. Despite some funds being frozen or returned, the adjusted losses for the month totaled around $495.3 million.
Bitget identified unauthorized transfers from its hot wallets on September 24 and promptly suspended withdrawals. The attack was traced back to a vulnerability in a third-party security product that allowed attackers to forge withdrawal commands.
As the crypto landscape continues to face security challenges, the rising trend in hacking incidents highlights the urgent need for enhanced security measures within the industry.