Not a day goes by without scammers coming up with a new method. The new favorite for robbers was the cryptocurrency market.
According to news from Gamze Şener from Hürriyet, fraudsters run in the market where the rules are not fully established and where there are legal loopholes. The cryptocurrency market has been on the agenda with the rapid decline and recovery efforts led by Bitcoin over the past few weeks. The growing interest in many digital assets such as cryptocurrencies, blockchain technology, NFTs and Metaverse during the pandemic period has also increased the news of fraud and theft. The number of illegal attempts such as fraud and unauthorized use has increased significantly over the past year. It should be noted that the main targets of hackers are blockchain bridges. It is stated that the gateways created to enable the transition between blockchains, which can be defined as a technology enabling data sharing without the need for a notary-like institution, will be the main target of hackers in the coming period.
To date, a total of 2,861 projects have caused losses exceeding $45 billion due to fraud, intrusion, collapse and abuse. The weight of Ethereum in these projects was announced at 29.5%. According to the report shared by blockchain analytics firm DappRadar, around $1.8 billion worth of cryptocurrencies were stolen in the first half of 2022 alone. In the report shared by the company regarding the second quarter, it said $676 million worth of crypto assets were reported to have been stolen. In DappRadar’s Q1 report, it was announced that $1.2 billion in cryptocurrency was stolen. Another important report for the cryptocurrency market was shared by Chainanalysis. According to Chainanalysis’ 2022 report, the equivalent of crypto-related crimes in 2021 was $14 billion in total. According to the company’s 2021 report, it was stated that losses caused by crypto crimes increased by 79% compared to 2020 and cryptocurrency theft increased by 516%.
INCREASE NFT TRADING VOLUME
According to the DappRadar report, not all news in the blockchain and cryptocurrency markets is negative. NFTs, which have painted the most positive image of the market to date, performed relatively well in the second quarter, even if they were penalized by macroeconomic developments. Compared to the same period of the previous year, the volume of transactions in NFT is 533%; Sales increased by 59%. One of the first platforms that comes to mind when NFT is mentioned, rival OpenSea marketplaces such as LookRare, x2y2 and Magic Eden have reduced OpenSea’s share. It has been stated that NFTs have taken an important stance against the current bear market for cryptos in general.
“REGULATIONS MUST ACT”
“About 90% of cloud mining projects unfortunately consist of fraudulent projects,” said Oytun Es, Technical Founder of Crypto, and made the following assessment: “In cloud mining, more returns are promised than normal mining. In the cryptocurrency ecosystem, scams have recently decreased due to cryptocurrency setbacks.In order to minimize these steps, states must take an action and regulations must come into play. as financial literacy to reduce fraud.
WHAT ARE BLOCKCHAIN BRIDGES?
The cryptocurrencies we often hear about today, such as Bitcoin and Ethereum, are actually the financial assets of a blockchain. For example, Ethereum is a blockchain, while the cryptocurrency of this chain is ETHER. Although blockchains may seem like a closed box for security reasons, the main element that provides security is that they cannot be modified. When defining blockchain bridges, the analogy of cities and bridges is mostly used. When considering each of the blockchains as a quarantined city, the tools that establish a relationship between these cities can be defined as blockchain bridges. Today, the transition between cryptocurrencies is done primarily through exchanges. For example, blockchain bridges are one of the ways a user can choose to transfer their Bitcoin money directly to the Avalanche network.
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