Decentralized finance is enjoying a period of sustained growth, with nearly $80 billion in assets locked into protocols, per data from DeFi Pulse, just 10% lower than its May peak.
But, as the saying goes: more money, more problems.
According to a new report from blockchain forensics firm CipherTrace, DeFi-related hacks and fraud have cost protocols and their users $474 million through the first seven months of the year. While overall cryptocurrency fraud and crime has dropped considerably—CipherTrace pegged the number at $4.5 billion in 2019 and $1.9 billion in DeFi hacks have done 270% more damage than all of last year.
Decentralized finance, or DeFi, refers to blockchain-based protocols that facilitate money lending, interest, asset swaps and other financial transactions without using an intermediary. Instead of relying on people and institutions to move money, DeFi relies on code known as smart contracts to automate transactions.
From the viewpoint of cryptocurrency advocates
Źródło: https://decrypt.co/78146/defi-has-lost-474-million-hacks-fraud-2021-report
