According to DL News, a network attack technique called “Cryptojacking” has become popular with the significant rise of cryptocurrencies since last year.
Cryptojacking refers to hackers hijacking the computational resources of victims’ computers without their consent or knowledge to mine cryptocurrencies. This method has become more profitable than before due to the surge in the cryptocurrency market.
Ari Redbord, Global Head of Policy at blockchain intelligence company TRM Labs, told DL News that with the bull market and over $100 billion locked in DeFi (Decentralized Finance), “we are likely to see more attacks happening.”
In 2023, the amount lost in the crypto space due to hacking attacks was $1.7 billion, approximately half of the previous year. This was mainly due to the decrease in cryptocurrency prices and the reduction of liquidity in DeFi platforms. Despite the decline in profits, the number of major hacking attacks in 2023 remained relatively constant, totaling 160 cases.
Rapid increase in Cryptojacking incidents
In its annual Network Threat Report, cybersecurity company SonicWall reported a total of 1 billion Cryptojacking attacks in 2023, a 659% increase compared to 2022. North America and Europe were particularly hard-hit, with increases of 596% and 1,046%, respectively.
Source: SonicWall
According to SonicWall, Cryptojacking involves the installation of malicious software, which hackers typically spread through phishing and compromised websites. It operates secretly on victims’ computers, smartphones, or servers. Cryptojacking exploits the processing power of victims’ devices for mining, thus impacting their performance and resulting in significantly higher electricity bills due to the energy-intensive nature of cryptocurrency mining.
Furthermore, the cryptocurrencies mined through Cryptojacking cannot be distinguished from legitimate cryptocurrencies. Bobby Cornwell, Vice President of Strategy Partnerships and Enablement at SonicWall, stated in an interview with DL News in June last year that this makes it “almost impossible” to measure the amount of cryptocurrency generated by Cryptojackers.
