Web3, a decentralized take on the World Wide Web, is being said to be one of the next things in technology. However, in 2022, Web3-based projects have lost over $2 billion (approximately Rs 15,881 crore) in the first six months to June.
According to research by a blockchain auditing and security company called Certify, which covered the quarterly Web3 security report for the second quarter of 2022. The report shows how Web3 and the cryptocurrency space are still plagued by hacks and scams, as well as new threats such as flash loan attacks.
Read also: Android and iOS users can send messages on WhatsApp without typing anything: Here’s how
The CertiK report focused on these “flash loan” attacks. It is a decentralized finance mechanism that allows borrowers to access very large amounts of cryptocurrencies for a very short period of time. However, attackers use these maliciously to manipulate the value of a certain token on exchanges. The report shows that 27 flash loan attacks caused a total loss of $308 million (about Rs 2,400 crore) in the second quarter of 2022. This is huge compared to last quarter’s $14 million loss in flash loan attacks.
In addition, the frequency of phishing attacks has also increased compared to the first quarter of 2022. While there were around 106 phishing attacks in Q1 2022, there have been 290 in the second quarter of this year. The report said that Discord was the vector for most phishing attempts.
The report also noted that “rag pulls” are also slowing down. A “rug bridge” occurs when the founders of a project halt development and run away with the money. CertiK reports that rug pulling caused a total loss of $37.46 million in the second quarter of 2022, down 16.5 percent from the previous year.
Watch video: Vivo X80 Pro review: Should you spend Rs 79,999 on this smartphone?
Read also: Web 3.0: What will the next generation of the Internet mean for India?,
read all breaking news, today’s fresh newswatch top videos And live TV Here.