Crypto Hacks Drop to $244M in May Despite Spikes in DeFi Exploits and Improved Fund Recovery

Blockchain security reports from CertiK and PeckShield show that May 2025 saw $244–$302 million in crypto losses due to hacks, scams, and exploits—a notable decline of 16–39% from April. The decrease reflects overall stronger industry defenses and improved real-time response, with around $157 million of stolen assets frozen after a major exploit at Cetus DEX. However, code vulnerabilities surged, driving up high-profile DeFi platform losses, specifically through the exploitation of Most Significant Bit (MSB) checks for large-scale asset creation. Other major events included multimillion-dollar attacks on Cork Protocol, Mobius DAO, BittoPro, and attacks with ties to the North Korean Lazarus Group. While phishing scams and price manipulation incidents have decreased, the concentration of attacks on DeFi platforms underscores ongoing risks due to their open-source and high-liquidity nature. The combined data suggests that, despite progress in cybersecurity and asset recovery, crypto traders should remain vigilant, employ real-time security monitoring, and exercise caution with DeFi protocols to mitigate ongoing risks. The industry is advancing, but sophisticated exploits remain a persistent threat, influencing both market sentiment and individual asset safety.