Ransomware actors are on track for a record-breaking year in 2024, with crypto inflows reaching an astounding $460 million in the first half of the year, according to a report by Chainalysis. This prediction comes as no surprise, considering that in 2023, ransomware groups raked in over $1 billion, with $449 million amassed by the end of June alone. The trend of lucrative payouts continues this year, with the largest single ransom payment ever recorded at $75 million going to the Dark Angels group.
Despite significant law enforcement operations that disrupted major cybercrime groups like LockBit and ALPHV/BlackCat, Russian cybercriminals are still reaping massive financial rewards. The influx of funds to these nefarious groups highlights the challenges faced by authorities in combating cybercrime on a global scale.
In addition to the surge in ransomware profits, there has been a resurgence in crypto theft through hacking. Threat actors are once again targeting centralized exchanges, shifting their focus away from decentralized entities like DeFi services and cross-chain bridges. The cumulative value stolen through hacking in 2024 has already exceeded $1.6 billion by the end of July, representing an 84% increase compared to the previous year. Despite the rise in hacking incidents, the number of incidents has only seen a marginal increase year-on-year.
Chainalysis warns that threat actors, including thousands of North Korean operatives, are employing sophisticated social engineering tactics to steal crypto. This includes tactics such as applying for IT jobs at exchanges to gain access to valuable assets. To combat cybercrime effectively, Chainalysis emphasizes the importance of disrupting the entire supply chain of criminal operations, including attackers, affiliates, partners, infrastructure service providers, launderers, and cashout points.
While the outlook may seem bleak, overall figures for crypto crime show a year-to-date decline in profits of nearly 20% annually, from $20.9 billion to $16.7 billion. This decline may be attributed to the increased use of Chainalysis Signals intelligence, which utilizes on-chain data and heuristics to identify suspicious addresses and track illicit activity more effectively.
As the crypto landscape continues to evolve, it is crucial for law enforcement agencies and cybersecurity experts to stay vigilant and adapt to new threats. By leveraging innovative solutions and intelligence-gathering tools, authorities can better understand and disrupt cybercriminal operations, ultimately protecting individuals and organizations from financial losses and data breaches.