As the curtain fell on 2023, the cryptocurrency community found itself grappling with a chilling reality: an alarming surge in cyber thefts, hacks, and scams. December, in particular, emerged as a dark chapter, witnessing a horrific increase in security breaches, with losses soaring close to a jaw-dropping $100 million.

And yet, the horrors continue. Here’s all you should know about the Orbit Bridge breach.

The Orbit Bridge Exploit

A critical event in this surge was the exploitation of Orbit Bridge on New Year’s Eve, contributing to December’s alarming theft statistics. According to PeckShield, a blockchain security analytics firm, the $81.5 million breach on Orbit Bridge was a major contributor to these figures. Overall, December saw approximately $100 million stolen across 36 different hacking incidents, with the Orbit Bridge attack ranking as the ninth most impactful cross-chain bridge hack in the past three years.

Orbit Chain Springs into Action

In the aftermath of the December 31st breach, Orbit Chain didn’t miss a beat. Proactively liaising with international cryptocurrency exchanges, they promptly froze the illicitly obtained assets. Their collaboration with global law enforcement agencies proved pivotal in not only tracing but also impeding the illicit fund flow. Furthermore, Orbit Chain remains in active dialogue with the perpetrators, with a second communication already dispatched.

2023: The Year We Discovered Crypto Vulnerabilities

While the Orbit Bridge fiasco marked a tumultuous climax to the year, 2023 at large was no stranger to crypto calamities. Security mavens project the cumulative losses from hacks, scams, and breaches to hover between $1.51 billion to a staggering $2 billion. However, amidst this gloom, there’s a silver lining: a nearly 50% reduction compared to the preceding year.

A detailed analysis by Coinpedia pinpoints September and November as particularly treacherous months, witnessing losses surpassing $700 million. Other major incidents included a $200 million loss from Mixin Network in September and significant losses from Poloniex, HTX, and Heco Bridge in November.

The Road Ahead

Despite a notable decrease in total losses from hacks, scams, and rug pulls compared to 2022, the cryptocurrency community remains under threat. The substantial drop in losses from $4.38 billion in 2022 to $1.4 billion in 2023 due to hacks is a positive sign, but the Orbit Bridge exploit serves as a stark reminder of the ongoing challenges within the crypto ecosystem.

This underscores the need for increased vigilance and enhanced security measures to protect against potential breaches in the future. Will 2024 provide a safer environment? Only time will tell.