- NFT hacking incidents decreased by 31% in July, indicating improved security measures.
- Stolen NFTs were rapidly sold in just 165 minutes, with blur’s exchange dominating the market.
- Despite the decline in hacking incidents, NFT market transaction volume on Ethereum dropped by 17% in July.
In a recent report released by blockchain security firm PeckShield, it has been revealed that the world of Non-Fungible Tokens (NFTs) experienced a notable decline in hacking incidents during July.
The report states that approximately 1.73 million USD worth of NFTs were compromised, marking a 31% reduction from the previous month. This decrease is even more significant when compared to February’s figures, which saw a staggering 89% plunge from a high of 16.2 million USD.
#PeckShieldAlert In July 2023, ~$1.73M worth of #NFTs were stolen, marking a 31% decrease compared to the previous month. Within a span of 165 minutes, half of the stolen NFTs were promptly sold on various marketplaces. The percentage of stolen NFTs initially sold on @blur_io… pic.twitter.com/cknsefpfwe
— PeckShieldAlert (@PeckShieldAlert) August 6, 2023
Interestingly, the report highlights the swiftness with which stolen NFTs made their way to the market. Within a mere 165 minutes, half of the stolen NFTs were sold, predominantly through Ethereum’s leading NFT Exchange, blur. Notably, blur commanded a substantial 67.3% share, while OpenSea trailed behind with 19.63%.
Nevertheless, the NFT sector’s security woes were not unheard of. Previously, several well-known figures in the industry, including Moonbirds’ Kevin Rose, NFT.GOD investor, early Bitcoin developer Luke Dash Jr., and fund manager DeFiance Capital’s Arthur0x, had fallen victim to wallet breaches due to lax security measures.
While this decline in NFT hacking incidents signifies positive progress for the market, it concurrently highlights a waning interest among users in the broader cryptocurrency domain. Transaction volume across NFT markets on Ethereum, for instance, witnessed a substantial 17% drop in July.
These trends signal a complex interplay between heightened security measures and shifting market sentiments. As the NFT landscape continues to evolve, stakeholders remain on the lookout for both advancements in safeguarding technologies and fluctuations in user engagement. It remains to be seen how this delicate balance will shape the future trajectory of the NFT ecosystem.