Phishing Scams Top Crypto Security Threat in 2024, CertiK Reports
Phishing attacks were the most significant security threat to the crypto industry in 2024, according to blockchain security firm CertiK. The firm’s annual Web3 security report revealed that phishing scams led to over $1 billion in stolen digital assets across 296 incidents last year.
Phishing scams often involve fraudsters sharing fake links to steal sensitive information such as private keys to crypto wallets. CertiK noted that these figures are conservative, as many incidents go unreported.
BlackRock ETF outflows accelerate. Source: Thomas Fahrer
“Phishing was the most costly attack vector last year,” a CertiK spokesperson told Coinbrit. The report also highlighted that at least three phishing incidents resulted in losses exceeding $100 million each, showcasing the devastating impact of these attacks.
Private key compromises followed as the second-largest threat, resulting in $855 million in stolen crypto across 65 incidents. CertiK’s findings underscore the importance of heightened security measures for crypto investors in 2025.
Record Outflows for BlackRock’s iShares Bitcoin Trust
BlackRock’s iShares Bitcoin Trust (IBIT) has experienced its largest single-day outflow since its launch in January 2024. On 2 January 2025, the spot Bitcoin exchange-traded fund (ETF) saw a record withdrawal of $332.6 million, according to Farside Investors.
This figure surpassed the previous record of $188.7 million on 24 December 2024. The ETF has now recorded outflows for three consecutive trading days, totalling $392.6 million over the past week.
The outflows come after the New Year’s Day market closure, marking a challenging start to 2025 for BlackRock’s Bitcoin investment product.
Terraform Labs Co-Founder Do Kwon Pleads Not Guilty in US Court
Do Kwon, co-founder of Terraform Labs, appeared before a New York magistrate on 2 January to face charges linked to the collapse of the Terra ecosystem. Kwon pleaded not guilty to nine criminal charges, including securities fraud, wire fraud, money laundering, and commodities fraud.
United States District Court for the Southern District of New York indictment against Do Kwon. Source: Court Listener
His plea comes less than a week after his extradition to the United States from Montenegro, where he was apprehended in 2023 for using falsified travel documents. Montenegrin authorities initially sentenced him to four months in prison. However, his extradition process extended his time in custody as courts debated his destination.
On 27 December 2024, Montenegrin Justice Minister Bojan Bozovic approved Kwon’s extradition to the US. A status conference is scheduled for 8 January, during which the defence and prosecution will share evidence.
Kwon’s legal battles stem from the Terra ecosystem’s catastrophic collapse, which wiped out billions of dollars in investor funds. His trial is set to be a focal point for the crypto industry as it grapples with regulatory and legal challenges.
Conclusion
The start of 2025 has already brought significant developments in the crypto world, from escalating phishing threats to major Bitcoin ETF outflows and high-profile legal cases. Investors are urged to stay vigilant as the industry navigates these complex challenges.
