- According to a report by DappRadar, during the month of November there were thefts/losses of $4.880 million dollars.
- The attack on the Genesis lending platform alone on November 16 caused a loss of $2.8 billion.
- What was lost/stolen during November is the maximum of 2022 and exceeded October, a month that had marked the sad figure of $766 million dollars.
One of the biggest risks that the crypto ecosystem has is hackers. hackers, who always seem to be one step ahead when it comes to security, in November they have set a new record so far this year. For this reason it is very important to be very attentive and always take care of money safely
DappRadar, site that encompasses and creates a ranking on the entire world of decentralized applications, made a report and it revealed that in the penultimate month of the year there were thefts/losses of $4.880 million dollars. It is worth noting that a single incident took more than half of the aforementioned figure and this went to the Genesis platform.
attack on genesis
The Genesis cryptocurrency lending platform paused the withdrawal of funds from November 16 and this affected thousands of users worth close to $2.8 billion dollars. Although the company has not yet reported its bankruptcy and is working to avoid this, the report already considers this as a loss. On this occasion, hackers did not participate directly, although it can be treated as a “theft”.
The troubles for Genesis, a company owned by Barry Silbert’s Digital Currency Group (DCG) cryptocurrency conglomerate, arose from the demise of centralized exchange FTX. This one, which held funds from individual users as well as smaller companies, severely affected the entire system: the aforementioned lender lost access to $175 million.
The letter, signed by interim CEO Derar Islim, made Genesis’ intentions clear. “We are working in consultation with highly experienced advisors and are evaluating the most effective path to preserve client assets, strengthen our liquidity and ultimately move our business forward.” was explained, emphasizing that this process will not be resolved in days but rather will last weeks or months.
Other affected exchanges
Behind Genesis is the own case of FTX, that on November 11 he declared bankruptcy after seeing how his entire company vanished in a matter of days. The DappRadar report, replicated by CryptoNewsensures that $1 billion in user funds were lost. To this is added an attack by computer thieves of another 380 million dollars. For this reason, the company led by Sam Bankman-Fried paused the withdrawals. Finally, unable to meet all the demands, he filed for bankruptcy.
Behind these two mentioned cases appears the crypto derivatives exchange called Deribit. This, through Twitter, reported that there was suffered an attack for 28 million dollars. Luckily for the users of the platform, the company will bear the losses and they will be paid “by the company’s reserves”.
What was lost/stolen during November is the maximum of 2022 and exceeded October, a month that had marked the sad figure of $766 million dollars. On that occasion, the main culprit was the fraud carried out by the “Bitcoin Sheikh”.
This case, which shocked Brazil, defrauded thousands of people in the country and is also believed to have crossed the borders of the South American country. Among the victims are soccer players and Sasha Meneghel, daughter of Xuxa (a top entertainer on Brazilian television), would have contributed more than 200,000 dollars.
After difficult months, December promises to give the industry a slight breather with minor losses. What happened left a big mark, but it should also raise awareness about the care of fund management.
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