Crypto Thefts Hit $163M in August Amid Fewer Incidents
Blockchain security firm PeckShield reports that crypto thefts surged to $163 million across 16 incidents in August, up 15% from July despite a declining hack count. Major losses included a $91 million social engineering attack on a Bitcoin holder and a $50 million breach at Turkish exchange Btcturk. While the number of exchange hacks fell month-on-month, rising Bitcoin and Ethereum prices have elevated high-value targets. PeckShield and industry experts warn that attackers are shifting from code exploits to trust-based scams, such as the “try my game” hack, fake recruitment drives and approval phishing. They urge traders and exchanges to bolster blockchain security, adopt AI-driven defenses and tighten verification processes to mitigate the growing threat of crypto scams.
Bearish
Rising crypto thefts and high-profile exchange hacks typically undermine trader confidence and heighten perceived risk, leading to bearish sentiment in the short term. Similar spikes in losses—such as the Mt. Gox breach—have historically triggered price dips and increased volatility. Although fewer incidents suggest improving defenses, the shift toward sophisticated social engineering and trust-based scams may prolong market unease until security measures catch up. In the long term, enhanced blockchain security and AI-driven tools could stabilize sentiment, but immediate reactions are likely negative.