Crypto Crime Report 2025: $2.17 B Stolen by Midyear Trends, Tactics & Defenses

• Crypto crime hit new highs in 2025: over $2.17B stolen by midyear led by a $1.5B exchange hack.
• Even so, illicit transactions remain a tiny fraction of crypto activity <1%.
• Ransomware and darknet volumes fell with major takedowns; fraud declines too, but emerging AI driven scams like pig butchering still rack up billions.
• Proactive defenses are crucial: penetration testing, audits, and compliance can uncover vulnerabilities before criminals strike see DeepStrike’s Penetration Testing Services.

Cryptocurrency’s meteoric rise has brought both innovation and crime. Crypto Crime Report 2025 drills down on the latest trends: hackers, scammers, and even nation states exploiting digital assets. According to Chainalysis, $2.17 billion was stolen from crypto platforms by mid 2025 already more than all of 2024. Yet this frantic pace still accounts for <1% of total crypto volume, so most blockchain activity is currently legitimate. The key takeaway: as crypto adoption grows, so do the threats. This report compiles the latest data and expert insights to help you defend your assets.

What is Crypto Crime?

Crypto crime covers any illicit activity involving cryptocurrencies or blockchain technology. That includes theft draining exchange or wallet funds, exploiting smart contracts, fraud Ponzi/ICO schemes, fake trading apps, romance/pig butchering scams, ransomware encrypting data and demanding crypto ransom payments, and money laundering using mixers, privacy coins, or corrupt exchanges to hide stolen funds. For context, criminals funneled an estimated $40.9 billion into illicit crypto addresses in 2024 likely exceeding $51B once hidden transactions are counted. Even so, that was only about 0.14% of all crypto transaction volume. In short, while the absolute dollar amounts are huge, illicit activity remains a small slice of overall blockchain usage.

Why Crypto Crime Matters in 2025

The stakes are higher than ever. Millions of people and businesses now hold cryptocurrency, and criminals have taken notice. For example, U.S. authorities estimate Americans lost roughly $10 billion to crypto investment scams in 2024. Major thefts like the $1.5B Bybit hack and widespread fraud undermine confidence in digital finance. Meanwhile, law enforcement has dramatically stepped up actions. In Oct 2025 the DOJ seized over $15 billion from a massive pig butchering scam networkjustice.gov, the largest crypto asset seizure to date. These developments mean crypto security is no longer optional but essential.

Key Crypto Crime Trends in 2025

• Record Theft Spree: Crypto platform hacks dominated 2025’s headlines. By mid year, Chainalysis tracked over $2.17 billion stolen from crypto services, already more than all of 2024. One huge event drove much of this: North Korea’s Lazarus Group stole $1.5 billion in Ethereum from Bybit, the largest crypto heist ever. Other notable 2025 losses include a May 2025 Coinbase insider hack $180- $400M and a $220M exploit of the Cetus DeFi exchange.
• Stablecoin Laundering: Criminals favor stablecoins USDT, USDC, etc. for swift, cross border laundering. Chainalysis reports stablecoins comprised 63% of illicit crypto transfers by 2024. Large hack and scam proceeds are often immediately converted to stablecoins. Regulators are targeting this channel: for example, the U.S. Treasury designated Cambodia’s Huione Group, a massive crypto mixer network, as a laundering concern, and exchanges now face strict KYC/AML scrutiny.
• Evolving Scams: Fraud schemes remain pervasive but are shifting tactics. TRM Labs finds $10.7 billion went into crypto scams and Ponzi sch-emes in 2024 about 40% less than 2023 thanks to enforcement actions. Popular pig butchering romance/investment scams still net multibillion dollar hauls by grooming victims with fake crypto trades. Criminals are also getting tech savvy: Chainalysis notes scammers now use AI generated content for highly personalized phishing and sextortion campaigns.
• Ransomware Shifts: Ransomware remains a multi million dollar menace but is under pressure. After peaking with $1.25B in crypto ransom payments in 2023, the 2024 total fell 35% to about $813.6M. Major gangs were disrupted LockBit/BlackCat and many victims now refuse to pay. Still, new gangs emerged e.g. Medusa, Rhysida focusing on smaller targets. Crucially, phishing is the primary entry point: roughly 54% of ransomware cases start with a malicious email. The median ransom has dropped to $115K and about 64% of victims now refuse to pay.
• Darknet & Laundering: Crypto is still the currency of choice on darknet markets drugs, stolen data, weapons, but volumes are stabilizing. Chainalysis shows darknet markets received about $2.0B in crypto in 2024 down from $2.3B in 2023. Many large marketplaces were taken down by global enforcement. Laundering networks responded by decentralizing, but tracking is improving. For example, U.S. and EU rules now require exchanges and wallet providers to report suspicious crypto flows, making it harder for criminals to hide illicit funds.

Notable Crypto Crimes of 2025

The Cost of Crypto Breaches vs Security

Data breach costs are staggering: the average U.S. breach now runs about $10.22 million. In contrast, proactive security is far cheaper. A mid market penetration test might only cost $20K- $50K. The table below illustrates the payoff of prevention:

Spending even tens of thousands on a thorough security review can prevent losses in the millions or billions. Think of it as insurance for your crypto business: a small premium now to avoid catastrophic breach costs later.

How to Strengthen Crypto Security: Step by Step Guide

• Secure by Design: Build safety in from day one. Use proven frameworks like OWASP Smart Contract Top 10 and NIST SP 800 115 to design resilient smart contracts and networks. Segment privileges for example, multi signature wallets across separate servers and enforce robust KYC/AML for users this deters money launderers and unauthorized transfers.
• Continuous Penetration Testing: Regularly simulate real attacks on your systems. Use expert teams or platforms such as DeepStrike’s continuous penetration testing platform. Conduct targeted tests as well for example, run web application penetration testing services on your exchange or API, and mobile app penetration testing solution for mobile wallets to cover every attack surface.
• Smart Contract Audits: If you use blockchain code, get it audited carefully. Manual code review, static analysis, and formal verification can catch bugs like reentrancy, math overflows, or flawed access controls. Even a small error can be catastrophic past DeFi hacks cost hundreds of millions. Audits typically run $10K- $100K, a small price to protect millions in funds.
• Bug Bounty Programs: Encourage ethical hackers to test your systems by offering rewards. Well run bug bounty initiatives via platforms or custom programs uncover tricky vulnerabilities that automated tools miss. Many white hat researchers find clever flaws e.g. in smart contract logic or wallet UI before criminals do.
• Real Time Monitoring & Response: Track blockchain transactions and network logs continuously. Set alerts for large transfers, new high value addresses, or hits flagged by blockchain analytics. Have an incident response plan: know how to freeze compromised wallets, rotate keys, notify users, and engage law enforcement immediately if a breach happens. Quick response can limit damage dramatically.
• Phishing Defenses: Train your team to spot scams. Phishing is behind many breaches 54% of ransomware cases start with a malicious email. Enforce multi factor authentication MFA everywhere, run routine phishing simulations, and cultivate a verify before trust culture e.g. phone confirmation for large wire transfers. For more on phishing threats, see DeepStrike’s analysis of phishing attack trends and statistics.

The crypto landscape of 2025 saw both record setting thefts and unprecedented crackdowns. Digital assets remain attractive to crooks, but coordinated enforcement efforts are disrupting many schemes. Organizations can no longer afford complacency: with billions on the line, proactive security measures are mandatory. By staying informed about evolving threats from state sponsored hacks to AI enhanced scams and investing in defenses, secure architecture, pentesting, continuous monitoring, businesses and individuals can significantly reduce risk.

Ready to strengthen your defenses? The threats of 2025 demand more than just awareness; they require readiness. If you're looking to validate your security posture, identify hidden risks, or build a resilient defense strategy, DeepStrike is here to help. Our team of practitioners provides clear, actionable guidance to protect your business.

Explore our penetration testing services to see how we can uncover vulnerabilities before attackers do. Drop us a line we’re always ready to dive in.

About the Author

Mohammed Khalil is a Cybersecurity Architect at DeepStrike, specializing in advanced penetration testing and offensive security operations. With certifications including CISSP, OSCP, and OSWE, he has led numerous red team engagements for Fortune 500 companies, focusing on cloud security, application vulnerabilities, and adversary emulation. His work involves dissecting complex attack chains and developing resilient defense strategies for clients in the finance, healthcare, and technology sectors.

FAQs

• How much cryptocurrency was stolen in 2024- 2025?

It has been massive. In 2024, criminals stole roughly $2.2 billion in crypto from various hacks and scams. By mid 2025 that figure jumped to $2.17 billion from crypto platforms alone, most of this was from one event, the $1.5B Bybit hack.

• What was the biggest crypto theft ever?

The record now belongs to the Feb 2025 Bybit exchange hack. DPRK linked hackers stole about $1.5 billion in Ethereum, surpassing all previous crypto heists by a wide margin.

• Are crypto crime rates increasing or decreasing?

In absolute dollars, losses are up more was stolen in 2025. But crypto activity is also soaring: analysts find illicit transfers were only 0.14% of on-chain volume in 2024 down from 0.61% in 2023. TRM Labs similarly reports about 0.4% of transactions were illicit in 2024. In other words, the percentage of crypto used in crime is tiny, but the total sums at risk are significant and rising.

• Who is most targeted in crypto crimes?

Everyone: individuals, businesses, and governments. Consumers often fall for scams, while exchanges and fintech firms face hacks and insider fraud. State sponsored groups focus on high value infrastructure for instance, North Korea’s Lazarus Group targeted exchanges and crypto firms in 2024- 2025. If you handle crypto or have valuable data, you could be a target.

• How are authorities fighting crypto crime?

Aggressively. U.S. and international agencies have charged key perpetrators and seized enormous assets. For example, DOJ actions recovered over $15B from global romance scam rings. Treasury’s FinCEN has sanctioned crypto laundering networks like Huione. Interpol led operations like HAECHI VI coordinated 40+ countries to recover $439M cash+crypto from fraudsters. Regulators now force crypto platforms to enforce strict KYC/AML and report suspicious transactions, closing many loopholes.

• What is pig butchering in crypto?

It’s a scam where criminals befriend victims often on social media or dating apps, build trust, and coax them into fake crypto investments. Early small returns lure victims into investing more; eventually the scammers disappear with all the money. Global authorities say pig butchering has drained billions from victims worldwide. The Prince Group case above is a prime example of this tactic.

• How can I protect my crypto assets?

Use strong security hygiene. Keep the bulk of crypto in cold/hardware wallets, enable MFA on all accounts, and use unique, complex passwords. Double check any investment or transfer requests, especially unsolicited ones. For organizations: invest in security reviews and training. Regular penetration tests and code audits of your crypto systems can find vulnerabilities before hackers do. Staying on top of security best practices is essential.