Q3 crypto security incident losses up 55% QoQ, Hacken warns audits cannot cover all risks

PANews reported on October 18, citing CoinDesk, that blockchain security firm Hacken's report shows that in the third quarter of 2026, the crypto industry saw 107 security incidents with losses reaching $1.18 billion, up 55% quarter-over-quarter. Of this, approximately $906.8 million in losses involved compromised vendors or development tools, known vulnerabilities not patched in a timely manner, and related components not included in the latest audit scope. In addition, some derivatives trading platforms and prediction markets rely on inadequate key management arrangements for asset security, though no actively exploited vulnerabilities have been found on these platforms. Analysts believe security audits cannot replace ongoing vulnerability management, and projects still need to patch known vulnerabilities promptly and ensure audits cover system components that actually affect fund security.