Offchain transaction validation could prevent 99% of crypto hacks, scams
A new blockchain security solution could prevent over 99% of cryptocurrency hacks and scams, which cost the industry more than $2.3 billion in 2024. Hacks increased by 40% compared to the previous year, according to Cyvers. The solution involves offchain transaction validation, which simulates and validates transactions before they occur. This method could thwart nearly all hacks, including unknown vulnerabilities like zero-day exploits. Cyvers reports that crypto phishing scams accounted for $1 billion in losses across 296 incidents in 2024, with some incidents exceeding $100 million. The solution could have detected the malicious smart contract responsible for the $230 million WazirX hack eight days prior to the incident. Access control vulnerabilities were the primary cause of $1.9 billion in losses, while smart contract exploits resulted in $456 million in losses.
