Security firm HashDit and AvengerDAO says lower amount have been lost to scams on BNB Smart Chain (BSC) in the third quarter of 2023, corresponding to a reduction of 75% in the sum at risk of fraud.
Based on data provided by security firm HashDit and AvengerDAO, the amount of funds used to facilitate scams on BNB Smart Chain (BSC) experienced a decline from $55.4 million in the second quarter to $13.6 million in the third quarter of 2023. This corresponds to a reduction of 75% in the sum at risk of fraud.
As per the analysis conducted by the security firm, the decline can be ascribed to many factors. These include a heightened consciousness among members of the community, a surge in security products that detect and report malicious websites and activities, and community members who promptly identify scams and issue warnings, thereby thwarting the scammers’ attempts.
Despite the decline, rug drags accounted for 67% of the total blockchain losses in the third quarter. HashDit reports that this continues to be the most prevalent attack vector for BSC.
Through the use of rug pulls, projects acting maliciously allure investors with their marketing efforts but fail to deliver the products they promise; the founders then flee with investor funds.
In Q3 2023, price manipulation and reserves were also prevalent on BSC. The report explains that hackers exploit “poorly designed smart contracts.”
Diverse security experts opined on October 20 that malicious actors might favor BSC due to its reduced cost and perception of insecurity compared to the Ethereum blockchain.
CertiK security researcher Joe Green claims that BSC has significantly lower transaction fees than Ethereum, while the network’s speed and stability remain unchanged. The researcher posits that hackers encounter “no financial pressure” when utilizing BSC as a consequence of this.
