$2.5 Billion in Crypto Hacks in Q1 2025: Why Non-Custodial Best Wallet is the Solution

And despite a decrease in Q2 incidents, phishing and exploit attempts still affect crypto traders. That’s why more people are choosing non-custodial options like Best Wallet to stay in control of their assets.

Best Wallet is seeing its user base grow rapidly as crypto traders seek more secure and private alternatives that reduce the risk of hacks.

While the $2.5 billion figure is eye-catching, CertiK’s latest report makes one thing clear: most of the damage came from just two incidents. The Bybit cold wallet breach and Cetus Protocol exploit collectively accounted for $1.7 billion. Remove those, and total losses fall to around $690 million – a very different picture.

Still, Q2 saw $800 million lost across 144 incidents, though that represents a 52% drop compared to Q1, with 59 fewer attacks.

Screenshot of CertiKs latest Hack3d Report tweet

So while the scale of some hacks is growing, the frequency is trending down. The biggest concern for traders remains wallet compromises. They made up just 34 incidents but caused over $1.7 billion in losses.

Phishing followed, with 132 cases and $410 million stolen, showing that social engineering remains a major weak point in crypto’s defenses.

Crypto hacks today look nothing like they did five years ago. Back then, DeFi protocols were the primary targets thanks to rushed code and lax security. Centralized exchanges and service providers are now in the crosshairs, and the stakes are far higher.

The average hack size this year is $30 million, double that of last year.

TRM Labs chart showing running total of crypto hacks for 2025 so far

And the number of incidents is also up 50% year-over-year. But what’s changed the most are the methods: private key thefts, seed phrase compromises, and front-end hijacks now account for over 80% of stolen funds. A front-end hijack is when hackers make a fake login page that looks exactly like the real one to steal your username and password when you try to log in.

State-sponsored groups like North Korea’s Lazarus Group are behind roughly 70% of crypto stolen this year, using sophisticated tactics to breach infrastructure and launder funds through DEXs and cross-chain bridges.

While the crypto industry is stepping up with faster coordination and takedowns, these threats continue to evolve.

As hacking tactics grow more advanced, so does the argument for ditching custodial platforms. Centralized services remain high-value targets because they pool assets and data in one place.

Best Wallet flips that model and removes single points of failure. It uses non-custodial key storage and Multi-Party Computation (MPC) to guarantee that no entity – including themselves – can access your funds.

Key security features of Best Wallet & number of chains supported

Add multi-factor authentication, real-time token-approval alerts, and decentralized recovery, and you get multiple layers of protection that make phishing, theft, and front-end exploits much harder to pull off.

Best Wallet’s native $BEST token ties everything together. Currently in presale with $13.6 million raised, it gives holders lower fees, early access to token launches, staking rewards, and cashback through the upcoming “Best Card.”

With plans to support over 60 blockchains and built-in tools for swapping and portfolio tracking, the wallet is designed for everything from everyday transactions to advanced DeFi management. That explains why analysts like Cilinix Crypto are optimistic about Best Wallet.

So, with wallet exploits driving most crypto losses this year, Best Wallet provides an upgrade that boosts both security and utility.

As crypto hacks become more targeted and expensive, users can no longer overlook security. That’s where tools like Best Wallet come in – providing protection that stays ahead of threats without compromising usability. For crypto users, it’s an upgrade that just makes sense.