Bear Market Driver Global Crypto Jacking Volume, Report Says

According to a report by security firm SonicWall, Crypto-jacking has skyrocketed in 2022. This trend has been unaffected and has likely been amplified by the bearish price action recorded in the digital asset industry.

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According to the definition of Crypto-Jacking by cybersecurity-oriented website Cyberpunk:

(This) is an unauthorized use of someone else’s computer, table, mobile phone or connected devices to mine cryptocurrency. As simple as that.

The report claims that global cryptojacking volumes increased by 66.7 million hits in the first half of 2022. This represents a 30% increase compared to 2021 levels during the same period.

SonicWall recorded record growth in total cryptojacking volume, but unevenly distributed over 2022. In January of this year, the count stood at 18.4 million hits, a new all-time high that surpassed previous record levels, taking total Q1 attacks to 45.1 millions.

This is the “most observed in a single quarter” which took place while the prices of Bitcoin and Ethereum were descending from new records recorded in late 2021. The cyber attacks receded in April and May 2022.

The report claims hits halved from the peak with 21.6 million attacks during this period. This is a reduction of over 50% from previous months.

This slowdown in cryptojacking, the security firm claims, responds to a “well-established pattern” for the industry. As shown below, cryptojacking attacks start each year with a peak before a cool-down period that translates into another peak later in the year.

In 2021, bad actors used ransomware and other cyber attacks to profit from industries and individuals. Cryptocurrencies were part of these attacks as bad actors often demanded payment in Bitcoin and other digital assets.

Why Are Crypto Jackings Rising in 2022?

The proliferation of these attacks gained the attention of international governments. In the United States, the Executive committed resources to prevent these attacks. At the time, a spokesperson for the Whitehouse’s Counter Ransomware initiative said:

(we will improve) network resilience to prevent incidents where possible and respond effectively when incidents occur; addressing misuse of financial mechanisms to launder ransom money or carry out other activities that make ransom money profitable.

As a result, the report claims, cybercriminals have migrated from high-risk, high-reward schemes to low-risk, low-reward and more sustainable exploits, such as cryptojacking. These attacks can remain active for a long time and affect the victim without their knowledge.

Terry Greer-King, SonicWall’s vice president for EMEA:

It has a lower potential to be detected by the victim; unsuspecting users around the world are seeing their devices become inexplicably slower, but it’s hard to link it to criminal activity, much less pinpoint the source

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In that sense, the report claims that there has been a decrease in the number of hits aimed at authorities, the health system and the education sector. Conversely, retail investors and the financial sector recorded a 63% and 269% increase in the number of cryptojackings, respectively.