Cryptocurrency Sector Experiences $357 Million Worth of Losses Due To 18 Hacks Occurring In April
Crypto Chaos in April 2025: A $357.11 Million Loss and the Recovery Tale of KiloEx and ZKSync
The crypto world has been swirling in turmoil once again, with April 2025 claiming an astonishing $357.11M in crypto losses, as perceived by PeckShieldAlert, a front-runner in blockchain security. The grim figures were spilled across social media, leaving crypto enthusiasts in a state of shock.
A Bleak April: $BTC Accounts for 92% of the Losses
Digging deeper into the numbers, it was unauthorized Bitcoin ($BTC) transactions that accounted for an astounding 92% of the total crypto losses, amounting to a whopping $330.7M. The alarming figure underscores potential security lapses and possible compromises of wallet credentials.
Nonetheless, upon the dark clouds, there emerged rays of hope as several recovery initiatives also yielded positive results. April's recoveries were propelled by Term Labs, KiloEx, and ZKsync, each taking a stand in the fight against cybercriminals.
KiloEx and ZKSync: Stealing and Recovering
April's crypto exploits, as revealed by PeckShieldAlert, include a hefty unauthorized Bitcoin transfer, a KiloEx breach, a Loopscale hack, a MorphoLabs attack, and a ZKsync exploit. Apart from the mammoth $330.7M lost in unauthorized $BTC transfers, KiloEx experienced a loss of nearly $7.5M, which it remarkably managed to recover.
The Loopscale breach, on the other hand, led to $5.8M in losses, while the ZKsync exploit faced a loss of $5.4M. However, following the breach, ZKSync collaborated with the Security Alliance (SEAL) and managed to recover $5.4 million of the stolen assets.
Fighting Back: KiloEx and ZKSync's Recovery Strategies
KiloEx Hack Recovery- The hack on KiloEx, amounting to a loss of $7.5M, occurred on April 14, 2025. The attack targeted a vulnerability in KiloEx's price oracle system, enabling manipulation of prices via altered ETH/USD price feeds[5].- To tackle the issue head-on, KiloEx joined forces with legal authorities, internal teams, and cybersecurity experts like SlowMist and Blitezero. A white-hat bounty was offered, incentivizing the hacker to return 90% of the funds within 72 hours, in exchange for keeping 10% and avoiding legal repercussions[5]. Remarkably, KiloEx successfully recovered the full $7.5 million, ensuring no financial loss to users.
ZKSync Hack Recovery- The ZKSync breach, totaling $5 million in unclaimed ZK tokens, was confirmed on April 15, 2025. However, the platform's main contracts remained unaffected[4].- In an effort to retrieve the stolen funds, ZKSync teamed up with the Security Alliance (SEAL) to forge a recovery plan. As a result, the platform managed to recover $5.4 million of the stolen assets[2].
Both platforms showcased resilience and proactive strategies to mitigate losses and recover stolen funds, emphasizing the importance of collaboration with cybersecurity experts and legal authorities in managing security breaches.
Crypto platform KiloEx, affected by a breach in April 2025, deployed a recovery strategy by collaborating with legal authorities, internal teams, and cybersecurity experts like SlowMist and Blitezero. Offering a white-hat bounty, they successfully recovered the entire sum of $7.5 million, preventing any financial loss for users.
Similarly, ZKSync, hit by an exploit during the same period, partnered with the Security Alliance (SEAL) to develop a recovery plan. The combined efforts yielded positive results, with $5.4 million of the stolen assets being recovered.
The proactive measures demonstrated by KiloEx and ZKSync during the April crypto event highlight the significant role of collaboration with cybersecurity experts and legal authorities in minimizing losses and retrieving stolen funds following a security breach.
By employing such measures, crypto platforms can demonstrate resilience and help foster trust among their users amidst technological advancements in finance, investing, and blockchain technology.
