The whole world is using the Internet and now that the Internet has created its own currency, where can cybercriminals be left behind. Taking advantage of new trends in cryptocurrencies, cybercriminals are targeting Internet users to steal their digital currency. A new report has revealed that scammers and cybercriminals siphoned off $14 billion worth of cryptocurrencies across the world last year.
Research firm Chainalysis gave information
Research firm Chainalysis reported in a new report that scammers stole cryptocurrencies worth $14 billion (about Rs 1,039 billion) in 2021. In the year 2020, this figure was $ 7.8 billion, that is, 79 percent more cryptocurrency in a year was stolen by scammers and cybercriminals. The report says that about $10 billion worth of cryptocurrencies stolen from Internet users are still held by scammers and criminals.
Attackers target decentralized finance
In the past year, users of decentralized finance (DeFi) investing with cryptocurrency increased because it is separate from the old banking system and not controlled by a single institution. The attackers trapped such users who were ready to invest in cryptocurrencies without thinking of the greed for more profits. The report is also a warning for those who are not aware of cryptocurrencies and related investments but are taking the risk of putting their earnings on it.
DeFi transactions up more than nine times
According to Chainalysis, the number of DeFi transactions in 2021 increased by 912 percent compared to the previous year.“DeFi is a very active part of the larger cryptocurrency ecosystem, where cryptocurrency users see a plethora of opportunities and ways to earn,” the firm wrote in its Annual Crypto Crime Report. The reasons why investors in DeFi have an earning opportunity can make investors vulnerable to scams and crypto thefts, the firm wrote.
Cryptocurrency worth crores looted in ‘Rag Pul’ case
In its second report in December, Chainalysis said that at least 36 percent of victims lost $2.8 billion (about Rs 280 crore) in ‘rag pull’ cases. Rag pull are those cases in which a crypto developer runs away with the funds received from investors after the start of the project. The firm reported that crypto scams increased by 81 percent in 2021 compared to 2020.
The Connection of Squid game with crypto worth millions of dollars
In November 2021, a cryptocurrency inspired by Netflix’s web series ‘ Squid Game ‘ came into the limelight. Millions of dollars of those who invested in it were cleared in a few hours and its value reached zero. According to crypto data tracking site Coinmarketcap, the Squid token rose in value from $628 to $2,856 but was traded at $0.0007 five minutes later. Governments of many countries have also made efforts to prevent crimes related to cryptocurrencies.