The month of May witnessed significant setbacks in the cryptocurrency realm, with losses amounting to a noteworthy $42.6 million due to various malicious activities such as hacks, scams, and exploits. Gala Games encountered the most severe blow, facing a staggering $21.6 million loss as a result of exploits. Following closely, Sonne Finance fell victim to a flash loan attack, losing a substantial sum of $20 million. CertiK, a trusted entity in the crypto industry, confirmed that these incidents collectively contributed to the overall cryptocurrency losses in May, surpassing the previous month's figures of $41.6 million. According to CertiK's analysis, the breakdown of losses in May reveals that exit scams accounted for $1.8 million, flash loans drained $20.7 million, and exploits siphoned off $19.7 million from the cryptocurrency ecosystem. The impact of these incidents is evident in the figures disclosed by CertiK. Notably, Gala Games suffered the most significant setback with a $21.6 million scam, leading the list of exploited platforms. Sonne Finance closely followed with a $20 million loss, emphasizing the severity of the flash loan attack it experienced. Other platforms affected by exit scams in May include Trees On Sol with a $1.11 million loss, Pii Park with $490,000, Novamind with $123,019, and Arbalest with $91,520. A peculiar trend observed throughout the year is the prevalence of flash loan attacks in odd-numbered months. Noteworthy financial losses were recorded in January, March, and May, amounting to $15.3 million, $21.9 million, and $20.7 million, respectively. In contrast to these unfortunate events, the cryptocurrency landscape continues to face challenges in combating fraudulent activities and protecting investors' assets.
Cryptocurrency Losses in May 2022

by Giorgi Kostiuk
2 years ago

Other news
Injective Seeks SEC Approval to Become a Transfer Agent

Injective has filed Form TA1 with the SEC to register as a transfer agent, aiming to support regulated real-world asset infrastructure on-chain.

The Critical Role of Transfer Agents in Financial Markets

Transfer agents are crucial for maintaining securities ownership records and facilitating transfers, especially as markets transition to on-chain solutions.

dYdX Chains v51 Upgrade Enhances Market Flexibility with Smart Contracts

The v51 upgrade of dYdX Chains allows users to launch perpetual markets without governance intervention, enhancing market flexibility.

Sui's Confidential Transactions Aim for Selective Confidentiality

Sui is exploring a selective confidentiality model for its confidential transactions, allowing sender and recipient addresses to remain visible while hiding amounts and balances, addressing privacy concerns for businesses.

Uniswap Governance Proposes Fee Routing for UNI Token Burns

Uniswap governance is reviewing a proposal to route protocol fees from selected Optimism pools toward UNI token burns, aiming to strengthen the connection between trading activity and token economics.

Account Abstraction Set to Transform Crypto User Experience

The introduction of account abstraction aims to address user experience issues in the crypto space, such as intimidating seed phrases and confusing gas fees, with a broader rollout planned for September 2026.

Be the first to know about crypto news every day
Get crypto analysis, news and updates right to your inbox! Sign up here so you don’t miss a single newsletter