Stolen Cryptocurrency Worth $181 Million Retrieved from Hackers, Yet Quarter 2 Sees a Deficit of $620 Million in Crypto Assets
In the second quarter of 2025, the Ethereum network suffered 175 incidents, resulting in a total loss of $1.63 billion. However, the most costly attack vector during this period was phishing, which accounted for over $395 million in losses across 52 incidents.
Phishing emerged as the most dominant form of attack in terms of financial impact during Q2 2025, marking a significant increase compared to the previous year. Wallet compromises, on the other hand, were less prevalent in Q2 and were the fifth costliest attack vector, resulting in $11.2 million in losses across just two incidents.
The Bybit hack, which occurred in February 2025, was responsible for over $1.5 billion in losses. The Lazarus Group, a North Korean state-sponsored hacking entity, was involved in this incident. Another significant breach was the Cetus Protocol, which resulted in $225 million in losses in May, due to an overflow check within the project's liquidity calculation function.
Despite the high number of incidents, Ethereum was not the highest in terms of losses during Q2. Bitcoin saw higher financial losses, with $373.6 million stolen across nine incidents. However, the total losses across all incidents in Q2 amounted to $801 million, reflecting a decrease from the previous quarter.
Funds worth $181 million were recovered, bringing the adjusted losses for the second quarter to $620.4 million. In the first half of the year, a total of $187.3 million was recovered.
The number of incidents decreased by 59 in Q2 2025 compared to the previous quarter. This decrease, coupled with the recovery of funds, suggests a potential improvement in the security measures of cryptocurrency platforms.
It is crucial for users to remain vigilant against phishing attacks and to secure their wallets effectively to minimise the risk of losses. As the cryptocurrency landscape continues to evolve, it is essential to stay informed about the latest security threats and best practices.
- Despite Phishing emerging as the most dominant form of attack in Q2 2025, wallet compromises were the fifth costliest attack vector, underscoring the importance of cybersecurity in web3 and crypto.
- In the second quarter of 2025, Bitcoin saw higher financial losses than Ethereum, emphasizing the need for enhanced general-news coverage on crypto-related crime-and-justice incidents.
- The Lazarus Group's involvement in the Bybit hack underscores the threat posed by state-sponsored hacking entities to data-and-cloud-computing infrastructure in the crypto space.
- The decrease in incidents and recovery of funds in Q2 2025 suggest a potential improvement in the security measures of cryptocurrency platforms, pointing towards a promising future for blockchain technology.
- As the cryptocurrency landscape continues to evolve, users should prioritize staying informed about the latest security threats and best practices, ensuring their Ethereum wallets and other digital assets remain protected.
