Imagine the sad faces of hundreds to even thousands and thousands of investors within the cryptocurrency market when news of an enormous amount of digital currency assets have been stolen by hackers during a single fiscal yr alone.

That’s the truth that many have faced in 2022, wherein $3.5 billion price of bitcoin and other related assets were stolen in that individual yr, in accordance with Digital Information World.

The information was provided by a hacking tracker website called Slowmist Hacked and extra data was provided by a VPN service provider named AtlasVPN, which was confirmed on the eleventh of January this yr.

The quantity that was stolen obviously doesn’t bode well with many investors which have lost massive amounts of cash.

Image: TheNewsCrypto

It goes without saying that the news of the stolen cryptocurrency caused widespread panic and worry amongst major investors. Meanwhile, critics and detractors alike are using the said news to their advantage to throw much more shade against cryptocurrency.

No because of the wrongdoings of several hackers (nearly all of that are still unknown by the authorities), many potential investors and regular investors of the cryptocurrency market are scared from making more investments.

Who Were The Targets Of The Hack?

In keeping with the identical data provided by AtlasVPN, the first targets of the infamous 2022 $3.5 billion infiltration were several blockchain bridges and the entire ecosystem of Binance Smart Chain (BSC).

The previous (blockchain bridges) is the tool utilized by cryptocurrency investors to maneuver their assets from one blockchain to a different, while the latter (BSC) is a widely known blockchain hosting service out there today.

Mainly, the hackers targeted those two as a way to gain access to the wallets of hundreds, if not thousands and thousands, of cryptocurrency investors and users which have their crypto wallets using blockchain bridges to access their crypto wallets. To place it simply, the hackers stole the keys to the vault to achieve access to the cash principally in that case.

Image: Digital Information World

Blockchain And Its Vulnerabilities

Even the Ethereum network wasn’t secure from these assaults. The lack of cryptocurrency was estimated at roughly $600 million.

The decentralized nature of blockchain is imagined to make assets safer, yet all things considered, digital tokens look like just as vulnerable to hacks as traditional currencies.

1/ After 4 hacks yesterday, October is now the most important month in the most important yr ever for hacking activity, with greater than half the month still to go. To date this month, $718 million has been stolen from #DeFi protocols across 11 different hacks. pic.twitter.com/emz36f6gpK

— Chainalysis (@chainalysis) October 12, 2022

Crypto total market cap at $928 billion on the weekend chart | Chart: TradingView.com

At the same time as early as October of that yr, the blockchain evaluation firm Chainalysis predicted that 2022 will likely be “the biggest yr ever” when it comes to the variety of cryptocurrency projects subjected to assaults and subsequent lack of funds.

The variety of hacks geared toward blockchain is anticipated to expand in tandem with its popularity. These attacks will serve to strengthen the system by exposing its vulnerabilities, but whether or not the blockchain’s developers could be trusted with users’ money stays to be seen.

-Featured image by Fortune India