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Around $8.8 million was lost to crypto exploits in January, a massive decline from the figures this time last year.
Aside from the bullish crypto market rally in January, there’s been more positive industry news as the month saw a decline in losses from exploits compared to the same time last year.
According to data from blockchain security firm PeckShield on Jan. 31, there were $8.8 million in losses from crypto exploits in January.
There were 24 exploits over the month, with $2.6 million worth of crypto being sent to mixers such as Tornado Cash. The breakdown of assets sent to mixers includes 1,200 Ether (ETH) and around 2,668 BNB (BNB).
The January figures are 92.7% lower than the $121.4 million lost to exploits in January 2022.
#PeckShieldAlert ~24 exploits grabbed $8.8M in January 2023.
— PeckShieldAlert (@PeckShieldAlert) January 31, 2023
As of January 31st, 2023, ~$2.6M worth of stolen funds (~2,668 $BNB & 1,200 $ETH) were transferred into Mixers (TornadoCash, Fixedfloat, and sideshift[.]ai). pic.twitter.com/KlGmDmKFbI
PeckShield reported the largest exploit from last month, representing 68% of the total, was the one carried out on the DeFi lending and borrowing platform LendHub which lost $6 million on Jan. 12.
Other notable exploits for the month included Thoreum Finance which lost $580,000 and Midas Capital which was exploited for $650,000 in a flash loan attack.
January’s figure is also down 68% from December 2022 which saw almost $27.3 million in exploit losses, according to PeckShield.
Other losses not included in the data include a $2.6 million rug pull on the FCS BNB Chain token, according to DeFiYield’s Rekt database. There was a further $150,000 lost to fake BONK tokens, and a $200,000 rug pull on the Doglands Metaverse gaming platform, DeFiYield reported.
A phishing attack on the GMX decentralized trading protocol on Jan. 4 also resulted in a victim losing as much as $4 million.
Related: Crypto wallets combat scammers with transaction previews and blocklists
Despite the relatively quiet month, blockchain security company CertiK told Cointelegraph in early January that there is unlikely to be a slowdown in attacks and exploits this year.
The firm also reported that the $62 million in crypto stolen in December was the "lowest monthly figure" in 2022.
As of the end of last year, the ten largest exploits of 2022 resulted in a whopping $2.1 billion stolen from crypto protocols.
The new bill, if passed, will allow cyber warfare operatives to take over control of critical infrastructure under attack.
Australia’s top cyber spies are set to gain greater powers in the event of ransomware or other cyber attacks on critical infrastructure.
The Australian Signals Directorate (ASD), a government agency in charge of cyber warfare and information security, would be able to take over control of critical infrastructure — including energy, communications and banking systems — under new legislation introduced into Parliament.
The legislation even considers health care and grocery businesses to fall under the definition of critical infrastructure and imposes new positive security obligations.
For ASD operatives to provide assistance, operators from the affected infrastructure have to report a serious cyber incident.
According to The Australian newspaper, the Critical Infrastructure Bill will be introduced to parliament, on Oct. 20, with bipartisan support from the committee that examined it.
Home Affairs Minister Karen Andrews stated the measures proposed will ensure the safety of essential services that Australians rely on:
“Recent cyber-attacks and security threats to critical infrastructure, both in Australia and overseas, make these reforms critically important.”
But a coalition of Australian and international tech industry groups is opposed to the new laws. “Without significant revision, the bill will create an unworkable set of obligations and set a troubling global precedent,” they wrote in a joint letter.
There have been a string of high profile ransomware attacks this year, including the Colonial Pipeline cyber attack in the U.S. in May, which forced governments around the world to rethink their vulnerabilities and highlighted crypto’s role in the attacks.
Another ransomware attack in May, on Australian meat processor JBS, pushed Australian lawmakers to take a tougher stance. A new Ransomware Action Plan was released last week will allow Australian authorities to seize or freeze financial transactions in cryptocurrencies that are associated with cyber-crime regardless of the country of origin.
The Parliamentary Joint Committee on Intelligence and Security said the “threat of cyber security vulnerability and malicious cyber activity has become increasingly evident in recent years” with about a quarter of reported cyber security incidents affecting critical infrastructure organizations.
Related: Chainalysis acquires cybercrime investigative firm Excygent in fight against ransomware attacks