Key Takeaways
- Pig Butchering scams became the most significant threat to cryptocurrency users in 2024.
- The scheme caused an estimated $3.6 billion in losses on the Ethereum blockchain alone.
- The number of cyber threats increased by 40% in 2024 compared to the previous year.
Pig Butchering scams, which involve fraudsters building fake relationships to lure victims into bogus investments, have emerged as a leading threat to crypto users, according to a new Cyvers report.
The Web3 security firm revealed that these schemes resulted in billions in losses on the Ethereum blockchain alone.
Pig Butchering Scams Drain $3.6 Billion in 2024
According to the report, Pig Butchering scams accounted for approximately $3.6 billion in stolen funds on the Ethereum blockchain alone.
The FBI estimated total losses from Pig Butchering schemes at $3.96 billion in 2023.
Building on that, Cyvers’ 2024 analysis revealed the scale of these scams, tracing funds lost across more than 150,000 addresses and over 800,000 transactions.
Notably, access control breaches—where attackers exploit vulnerabilities to gain unauthorized control—accounted for 81% of all losses despite making up just 42% of recorded incidents.
Cyber Threats Surge in 2024
The 2024 report also reveals a troubling 40% increase in cyber threats compared to the previous year, resulting in over $2.3 billion in losses across 165 documented cases.
Despite this alarming rise, the total financial damage remains 37% lower than the record-breaking peak of 2022, reflecting some progress in mitigating large-scale attacks.
Ethereum stood out as the most targeted blockchain, bearing the brunt of Pig Butchering scams and other fraudulent schemes.
Access control breaches emerged as the most devastating attack type, responsible for $1.9 billion in losses across just 67 incidents.
Smart contract exploits followed, causing $456.8 million in damages from 98 cases.
A single instance of address poisoning—a rare attack vector—resulted in a $68.7 million loss, highlighting the evolving complexity of crypto threats.
Amid these challenges, recovery efforts gained momentum.
On-chain investigators, including prominent figures like ZachXBT, helped reclaim approximately $1.3 billion through recovery services and bug bounty initiatives.
Cyvers CEO Deddy Lavid emphasized that access control breaches remain the crypto industry’s most pressing security concern, underscoring the need for stronger protections against this dominant threat.
Crypto Hacks Surge to $750M in Q3 2024 Despite Fewer Attacks: CertiK Report
