Cryptojacking and Bitcoin’s Soaring Rally

1. Bitcoin’s recent surge to an all-time high at $69,000 has triggered a 659% increase in cryptojacking attacks.
2. SonicWall’s annual cyber threat report reveals a shocking one billion cryptojacking attacks in 2023.
3. Authorities, slow to react initially, made a notable move in January with the high-profile arrest of an alleged cryptojacker in Ukraine.

Bitcoin has recently reached an all-time high, surging to $69,000 in November 2021, prompting a resurgence in cybercriminal activities.

The increased value of cryptocurrencies, particularly Bitcoin, has attracted hackers who managed to pocket $1.7 billion from crypto heists in 2023.

Rise of Cryptojacking: A Lucrative Attack Method

A novel attack method, known as “cryptojacking,” has gained prominence among cybercriminals. In this method, hackers take control of individual computers. This is transforming them into crypto mining machines to generate new cryptocurrencies like Bitcoin.

The soaring crypto prices have made these cryptojacking attacks more financially rewarding than ever.

Cybersecurity Firm’s Alarming Findings

SonicWall, a cybersecurity firm, reported a staggering 659% increase in cryptojacking attacks in 2023. Compared to the previous year, it is reaching one billion attacks. North America and Europe experienced significant surges of 596% and 1,046%, respectively. These attacks involve hackers using malware, phishing tactics, and various vectors to compromise vulnerable systems.

”With the bull market and over $100 billion locked in DeFi today, we are likely going to see more attacks,”

Redboard

Cryptojacking attacks exploit victims’ computers, utilizing their processing power for crypto mining without their knowledge. This adversely affects the performance of the targeted computers and leads to substantial electricity bills due to the energy-intensive nature of crypto mining. Once the illicit mining is complete, distinguishing the mined crypto from legitimately mined ones becomes nearly impossible.

Slow Response and High-Profile Arrest

Authorities have been slow to respond to the surge in cryptojacking incidents. However, in a notable development, Ukrainian police, with assistance from Europol, executed the first high-profile arrest of an alleged cryptojacker in January. This individual is believed to have illicitly mined cryptocurrencies worth $2 million.

Ari Redbord, global head of policy at blockchain intelligence firm TRM Labs, anticipates more cyber attacks as the crypto market continues to flourish.

He highlights progress in the ongoing “cat-and-mouse game” between lawmakers and cybercriminals, expressing optimism for better cyber controls and enhanced law enforcement capabilities to track and trace hacked and stolen funds in 2024.