- Chainalysis launches a crypto incident response program.
- Crypto hacks and ransomware attacks hit new heights.
Since the beginning of this year, the focus of attention on the crypto market has been the declining crypto prices. However, there is an area of worry many are no longer paying attention to. A recent CipherTrace data indicated that there have been more legal usage of cryptocurrencies than their illegal use in the last 12 months.
According to the report, using cryptos for fraudulent purposes accounted for only 0.15 percent of digital currencies’ transaction volume last year. However, the blockchain data platform, Chainalysis, claims that there has been a rise in the illegal use of cryptos since the beginning of this year.
Hence, Chainalysis has launched a service to fight crypto-related scams. The platform named the service “crypto incident response program.” It is available at any time of the day to victims of crypto-related scams or hackers.
More details about Chainalysis’ new program
Chainalysis announced its new service via a blog post on Wednesday. According to the announcement, the rise in hacks and ransomware attacks was their main reason for launching this service. The post noted that if the rising cases of security risks continued unchecked, many potential investors would lose trust in the industry.
Part of the post reads,
firms and individuals who have been the victims of crypto hacks are our main target audience for this service. Organizations whose networks have been hacked with the hackers demanding crypto ransoms can also use this service.
According to the post, victims can access this response service at any time of the day. Hence, they can receive instant attention and support for their issue. The service has a team of experts with experience in tracing stolen funds. These experts are in groups to serve the needs of victims properly and at any time.
The post further noted that the experts might consult with law enforcement agents and the appropriate authorities to recover transferred funds. Transferred funds mean hackers have moved the stolen funds from one account to another or multiple accounts.
The rising cases of hacks and ransomware attacks
Data from the Chainalysis website revealed that ransomware attackers earned over $730m between January and December 2021. One of Chainalysis’ top-level executives, Kim Grauer, added that there was a 34 percent increase in average ransomware payments last year.
The reason was that these attackers started targeting top firms with deep pockets. Multiple data show that hacks and exploitation have increased significantly since the start of this year.
A recent industry report by Immunuefi (a crypto-security company) showed that hackers had received more than $1.1b in the first quarter of this year alone. That amount is nearly eight times what hackers received in the first quarter of 2021 ($154M).
The Immunuefi report also stated that hackers have been using cross-bridge platforms to process their stolen funds. The report added that most of this year’s stolen crypto funds had been recorded on the Ronin and Wormhole cross-bridge platforms.