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Most crypto thefts stem from off-chain human and operational failures, not smart contract bugs.

Market News
25 Jun 2026
AMBCrypto
View Source
Neutral
Most crypto thefts stem from off-chain human and operational failures, not smart contract bugs.

Despite common belief, most crypto hacks in 2024 and 2025 result from off-chain vulnerabilities like stolen private keys, compromised signers, and weak operational security rather than flaws in smart contract code. This mislabeling as "DeFi hacks" obscures the true nature of failures, which often begin with human error or control system breaches. The interconnected nature of DeFi protocols means a failure in one layer quickly spreads downstream, amplifying losses. Accurate diagnosis is crucial to improving security beyond just better code audits, focusing on the broader control and operational environment around crypto systems.

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