Crypto Hack Losses Decrease in January Despite Rise in Account Compromises
Despite a rise in account compromises, crypto hack losses dropped to $98.19 million in January from $160 million a year earlier, according to data revealed by blockchain security firm SlowMist.
Hackers were active in the early months of 2025, but the amount stolen was lower compared to the same period in 2024. The total losses from security incidents in the crypto space amounted to $98.19 million in January, marking a 39% decrease from the previous year’s $160 million, as reported by SlowMist on February 6th.
The report identified 40 hacking incidents in January 2025, a decrease from the 56 incidents recorded in January 2024. The primary causes of these security breaches included hot wallet breaches, phishing scams, and vulnerabilities in smart contracts. In contrast, the losses in the previous year were largely attributed to flash loan attacks, DDoS incidents, and price manipulation schemes.
One of the major attacks in 2025 targeted the crypto exchange Phemex, resulting in a loss of approximately $70 million due to a hot wallet breach. Another notable breach occurred at Noones, a Bitcoin marketplace previously led by the ex-CEO of Paxful, where over $7 million was lost due to a Solana bridge exploit.
Phishing scams continued to pose a significant threat, with ScamSniffer reporting that 9,220 victims collectively lost $10.25 million in January. Meme coin scams, often promoted through social media channels, were used by malicious actors to deceive investors and abscond with their funds.
Furthermore, the proliferation of fake accounts has become a concerning trend, with over 300 new fake accounts emerging daily—twice the number observed in November. Instances of scammers taking control of prominent accounts, such as those belonging to Yahoo News UK and Lenovo India, to promote fraudulent tokens have also been reported.