Study finds 83% of crypto investors report scams or hacks

A recent study by Chainplay and Storible reveals that 83% of cryptocurrency investors have fallen victim to scams or hacks at least once, with average losses per incident reaching $2,622.

The findings highlight persistent vulnerabilities in the crypto market as adoption grows.

Among the most common scams are social media impersonation (34%), exchange hacks (21%), and phishing attacks (19%).

Centralised exchanges (CEXs) have suffered the highest financial losses, totaling over $27 billion—27 times greater than losses from decentralised exchanges (DEXs), despite DEXs experiencing more frequent attacks.

The study also identified that each major crypto project faces an average of eight phishing sites and seven fake social media accounts, illustrating the sophisticated tactics employed by scammers.

These fraudulent schemes exploit trust and interest through meticulously crafted deceptive platforms.

The report underscores the urgent need for improved security measures, regulatory oversight, and investor education to combat rising fraud.

As artificial intelligence (AI) becomes increasingly integrated into hacking strategies, attackers are leveraging AI-driven bots to automate cybercrimes, making them more complex and dangerous.

AI tools can process vast amounts of data, mimic behaviors, and execute advanced tasks without human intervention, further complicating prevention efforts.

Historically, cryptocurrency-related crimes have drained billions from the market.

Over the past decade, losses have exceeded $30 billion across 673 documented incidents.

In 2022 alone, crypto crime hit an all-time high with $12 billion stolen in 436 cases—a 46% increase in value lost compared to 2021.

The study warns that crypto crime rates are unlikely to decline in the near future.

Projections suggest that losses could reach $20 billion by 2025 if current trends persist.

June has been identified as the riskiest month for investing in cryptocurrencies, with incidents peaking during this period over the last ten years.