46% OF CRYPTO LOST FROM EXPLOITS IS DUE TO TRADITIONAL WEB2 FLAWS — IMMUNEFI

In the fast-evolving world of Web3 and cryptocurrency, security is paramount.While much attention is given to the intricate complexities of smart contract vulnerabilities and blockchain technology, a recent report from Immunefi, a leading blockchain security platform, shines a spotlight on a surprising culprit behind significant crypto losses: good old Web2 security flaws. 46% of crypto lost from exploits is due to traditional Web2 flaws World One News Page: ThursdayThe report, released on November 15th, analyzing data from 2025, reveals that a staggering 46% of all crypto lost from exploits can be attributed to vulnerabilities that are more commonly associated with traditional web applications and infrastructure.This eye-opening statistic underscores a critical need for enhanced security practices that extend beyond the blockchain itself, emphasizing the importance of securing the systems and processes that support the decentralized ecosystem.These are problems we have dealt with for decades. A new report from blockchain security platform Immunefi suggests that nearly half of all crypto lost from Web3 exploits is due to Web2 security issues such as leaked private keys. The report, released on November 15, looked back at the history of crypto exploits in 2025, categorizing them into diffeThis article will delve into the details of this report, exploring the types of Web2 flaws that are plaguing the crypto space, and providing actionable steps to mitigate these risks and safeguard digital assets.

The Immunefi Report: A Deep Dive into Web3 Vulnerabilities

The Immunefi report offers a comprehensive analysis of the threat landscape in the Web3 world, categorizing vulnerabilities based on their root cause.It's easy to get caught up in the innovative and cutting-edge aspects of blockchain and decentralized finance (DeFi), but the report serves as a stark reminder that fundamental security principles still apply, and neglecting them can have devastating consequences. A new report from blockchain security platform Immunefi suggests that nearly half of all crypto lost from Web3 exploits is due to Web2 security issues such as leaked private keys. The report, released on November 15, looked back at the history of crypto exploits in 2025, categorizing them into different types of vulnerabilities.It is critical to remember the fundamentals.

The report specifically highlights that nearly half of the crypto lost in 2025 wasn't due to innovative smart contract hacks, but rather to issues stemming from familiar Web2-style infrastructure weaknesses. The second-largest cause of exploits in 2025 was cryptographic issues, according to Immunefi.This includes things like:

• Leaked Private Keys: One of the most common and damaging flaws.
• Compromised Servers: Gaining unauthorized access to central systems.
• Weak Access Controls: Allowing unauthorized users to perform sensitive actions.

Leaked Private Keys: A Persistent Threat

The report identified leaked private keys as a primary driver of crypto losses.Private keys are the digital keys that grant access to and control over cryptocurrency holdings. 74 subscribers in the marketscreen community. Welcome to MarketScreen Navigating the Financial Markets Together! 📈 MarketScreen is your go-toIf a private key falls into the wrong hands, the corresponding cryptocurrency is at risk of being stolen. A new report from blockchain security platform Immunefi suggests that nearly half of all crypto lost from Web3 exploits is due to Web2 security issues such as leaked private keys. The report, released on Nov. 15, looked back at the history of crypto exploits in 2025, categorizing them into different types of vulnerabilities.The importance of properly securing them cannot be overstated.

How Do Private Keys Get Leaked?

There are several ways private keys can be compromised:

• Phishing Attacks: Deceptive emails or websites designed to trick users into revealing their private keys.
• Malware: Malicious software that steals private keys from infected computers.
• Insider Threats: Employees with access to private keys who intentionally or unintentionally leak them.
• Poor Storage Practices: Storing private keys in insecure locations, such as plain text files or easily accessible servers.

Example: Imagine a DeFi platform where the private key to a wallet holding a significant amount of liquidity is stored on a server with weak security. Posted by u/cointelegraph1 - No votes and 2 commentsA hacker could exploit a vulnerability in the server to gain access to the private key and drain the wallet, resulting in a massive loss for the platform and its users.

Actionable Advice:

1. Use Hardware Wallets: Hardware wallets store private keys offline, making them much more resistant to hacking.
2. Implement Multi-Signature Wallets: Multi-signature wallets require multiple approvals to execute transactions, reducing the risk of a single compromised key leading to loss.
3. Secure Key Storage: Never store private keys in plain text or easily accessible locations.Use encryption and secure storage solutions.
4. Educate Users: Train users to recognize and avoid phishing attacks and other scams.

Beyond Private Keys: Other Web2 Vulnerabilities

While leaked private keys are a major concern, the Immunefi report also highlights other Web2 vulnerabilities that are contributing to crypto losses. A new report from blockchain security platform Immunefi suggests that nearly half of all crypto lost from Web3 exploits is due to Web2 security issues such as leaked private keys.These vulnerabilities often target the infrastructure that supports Web3 applications, rather than the blockchain itself.Protecting this infrastructure is paramount.

Compromised Servers and Weak Access Controls

Gaining unauthorized access to servers and exploiting weak access controls are common attack vectors.If an attacker can compromise a server that hosts a Web3 application or API, they can potentially manipulate data, steal private keys, or disrupt service.

Weak access controls can allow unauthorized users to perform sensitive actions, such as modifying smart contracts or transferring funds.This can be particularly dangerous in DeFi platforms, where even a small change to a smart contract can have significant financial consequences.

Example: An exchange that does not properly secure its servers could allow hackers to inject malicious code into its website, leading to phishing or malware attacks on users.Similarly, weak access controls could allow an attacker to impersonate an administrator and manipulate account balances or withdraw funds.

Actionable Advice:

• Implement Strong Access Controls: Use role-based access control (RBAC) to limit access to sensitive data and functions.
• Regularly Audit Security: Conduct regular security audits to identify and address vulnerabilities in servers and applications.
• Use Web Application Firewalls (WAFs): WAFs can help protect against common web attacks, such as SQL injection and cross-site scripting (XSS).
• Implement Intrusion Detection Systems (IDS): IDS can detect and alert on suspicious activity on servers and networks.
• Keep Software Up-to-Date: Regularly update software to patch security vulnerabilities.

The Role of Cryptographic Issues

While the majority of losses were attributed to Web2 flaws, the Immunefi report also notes that cryptographic issues were the second-largest cause of exploits in 2025.Cryptographic issues can arise from using weak or outdated encryption algorithms, or from implementing cryptography incorrectly.

Example: If a Web3 application uses a weak hashing algorithm to store passwords, an attacker could potentially crack the passwords and gain access to user accounts. 860 subscribers in the cryptoloversclub community. High-quality, non-speculative news about Crypto Currencies. Safe environment to discuss and learnSimilarly, if a smart contract uses a flawed random number generator, an attacker could predict the generated numbers and exploit the contract.

Actionable Advice:

• Use Strong Cryptographic Algorithms: Use well-vetted and widely accepted cryptographic algorithms.
• Implement Cryptography Correctly: Follow best practices for implementing cryptography.
• Regularly Review Cryptographic Implementations: Have cryptographic implementations reviewed by security experts.

Why Are Web2 Flaws So Prevalent in Web3?

The prevalence of Web2 flaws in the Web3 space may seem surprising, given the focus on decentralization and blockchain security.However, there are several reasons why these flaws persist:

• Rapid Growth: The Web3 ecosystem is growing rapidly, and security often takes a backseat to innovation.
• Complexity: Web3 applications are often complex, making it difficult to identify and address all potential vulnerabilities.
• Lack of Security Expertise: Many Web3 developers lack experience in traditional security practices.
• Reliance on Centralized Infrastructure: Many Web3 applications still rely on centralized infrastructure, such as servers and APIs, which are vulnerable to Web2-style attacks.

Mitigating Web2 Risks in Web3: A Proactive Approach

Addressing the issue of Web2 vulnerabilities in Web3 requires a proactive and multi-faceted approach.It's not enough to simply focus on blockchain security; developers and organizations must also prioritize the security of their underlying infrastructure and systems.

Security Audits and Penetration Testing

Regular security audits and penetration testing are essential for identifying and addressing vulnerabilities.Security audits involve a comprehensive review of code, infrastructure, and processes, while penetration testing attempts to exploit vulnerabilities to assess their impact.

Actionable Advice:

• Engage Reputable Security Firms: Choose security firms with experience in both Web2 and Web3 security.
• Conduct Regular Audits: Conduct security audits on a regular basis, especially after significant code changes or infrastructure updates.
• Prioritize Remediation: Prioritize the remediation of identified vulnerabilities based on their severity and impact.

Employee Training and Awareness

Human error is a major factor in many security breaches.Training employees to recognize and avoid phishing attacks, use strong passwords, and follow secure coding practices can significantly reduce the risk of vulnerabilities.

Actionable Advice:

• Provide Regular Security Training: Conduct regular security training for all employees, covering topics such as phishing awareness, password security, and secure coding practices.
• Simulate Phishing Attacks: Simulate phishing attacks to test employees' awareness and identify areas for improvement.
• Enforce Strong Password Policies: Enforce strong password policies, requiring users to use complex passwords and change them regularly.

Secure Development Practices

Adopting secure development practices can help prevent vulnerabilities from being introduced in the first place. It concluded that a afloat 46.48% of the crypto mislaid from exploits successful 2025 was not from astute declaration flaws but was alternatively from infrastructure weaknesses oregon issues with the processing firm s machine systems. Categories of Web3 vulnerabilities. Source: Immunefi.This includes things like using secure coding standards, performing code reviews, and implementing automated testing.

Actionable Advice:

• Use Secure Coding Standards: Follow secure coding standards to avoid common vulnerabilities.
• Perform Code Reviews: Conduct code reviews to identify and address vulnerabilities before they are deployed.
• Implement Automated Testing: Implement automated testing to detect vulnerabilities early in the development process.
• Use Static Analysis Tools: Use static analysis tools to automatically identify potential vulnerabilities in code.

Incident Response Planning

Even with the best security measures in place, incidents can still occur.Having a well-defined incident response plan can help organizations respond quickly and effectively to security breaches, minimizing the impact of the incident.

Actionable Advice:

• Develop an Incident Response Plan: Develop a comprehensive incident response plan that outlines the steps to be taken in the event of a security breach.
• Test the Plan Regularly: Test the incident response plan regularly to ensure that it is effective.
• Assign Roles and Responsibilities: Clearly define roles and responsibilities for incident response.
• Have a Communication Plan: Develop a communication plan to keep stakeholders informed during an incident.

Looking Ahead: The Future of Web3 Security

As the Web3 ecosystem continues to evolve, security will become increasingly important. A new report from blockchain security platform Immunefi suggests that nearly half of all crypto lost from Web3 exploits is due to Web2 security issues such as leaked private keys. The report, released on Nov. 15, looked back at the history of crypto exploits in 2025, categorizing them into differenAddressing the issue of Web2 vulnerabilities is crucial for ensuring the long-term success of the decentralized web.The Immunefi report serves as a wake-up call, reminding the industry that fundamental security principles still apply, even in the most innovative and cutting-edge environments.We must learn from the past to build a more secure future.

Conclusion: Key Takeaways and Call to Action

The Immunefi report's findings are a crucial reminder that security in Web3 is not solely about blockchain technology.The statistic that 46% of crypto lost from exploits is due to traditional Web2 flaws highlights the critical need for a holistic approach to security.By addressing vulnerabilities in infrastructure, securing private keys, training employees, and implementing secure development practices, we can significantly reduce the risk of crypto losses and build a more secure and trustworthy Web3 ecosystem.

Key Takeaways:

• A significant portion of crypto losses are due to Web2 vulnerabilities, such as leaked private keys and compromised servers.
• Web3 developers and organizations must prioritize the security of their underlying infrastructure and systems.
• Proactive security measures, such as security audits, employee training, and secure development practices, are essential.

Call to Action:

If you are involved in the Web3 space, take the time to assess your security posture and identify any potential vulnerabilities.Implement the actionable advice outlined in this article to mitigate risks and protect your digital assets.Together, we can build a more secure and thriving Web3 ecosystem.