Gate.io CEO Dr. Han Warns of Increasing Crypto Hacks, Advocates Improved Crypto Security and Collaboration

In light of recent security issues in the crypto industry, Dr. Lin Han, CEO and founder of Gate.io, emphasized the need for strong security measures in the crypto ecosystem at Seoul Meta Week (SMW).

His keynote, ‘Building Trust Beyond Blockchain', aims to spark conversations on crypto security with leaders in the technology, business and media sectors, emphasizing the importance of improved digital trust in today's crypto landscape.

“The world of crypto is dangerous.”

It's not a phrase you'd expect to hear from the CEO of a major crypto exchange, but it's based on an undeniable fact. During his talk, Dr. Han shared compelling information about crypto hacks and thefts from Gate.io researchers and Chinalysis.

From 2014 to 2024, the most prevalent incidents included carpet dragging (253), contract errors (232), and flash loan attacks (123). Specifically, between 2021 and 2023, a staggering $8.7 billion in crypto was stolen from the platform—a significant increase from the roughly $2.5 billion in the previous three years. Although the total amount of crypto stolen in 2023 decreased compared to last year, the number of incidents increased from 219 to 231.

In the last three years, 77% of stolen funds came from Web3 platforms and 33% were centralized. Of particular concern, hackers based in North Korea accounted for 36 percent of these losses ($3.1 billion). Their popularity rose in 2023, with 20 interceptions, 15 in 2022, and 9 in 2021.

“Everything starts with trust.”

While much of the talk in crypto revolves around the myriad benefits of blockchain technology, Dr. Han emphasized the need to delve into more challenging topics. “These are difficult discussions, but they are important,” he said, stressing the importance of addressing security issues.

Founded 11 years ago in response to the MtGox incident, Gate.io demonstrates a commitment to security as a fundamental principle. Dr. Han pointed out that security is not just a checklist, but an integrated approach, technology infrastructure, security solutions, transparency and adherence to regulatory standards.

Central to any crypto platform is the assurance of a secure and reliable on-chain data infrastructure. Dr. Han detailed Gateon's approach, highlighting its strong in-house data center, which has partnerships with AWS, Huawei Cloud, Microsoft Cloud, and Alibaba Cloud. He emphasized that the security is based on a unified basis.

In addition, Dr. Han pointed out that his data center not only ensures secure access to information, but also strengthens security by enhancing the ability to monitor and detect on the chain. This proactive stance enables continuous monitoring and rapid response to potential threats, thereby strengthening the reliability and robustness of Gate.io services.

Dr. Han emphasized Gate.io's commitment to security through initiatives such as proof of stake holders. “It ensures that user deposits are backed 1:1,” he explained. “In the year Today, this practice is widely practiced on top platforms, but at Gate.io, we are committed to raising the bar with robust reporting standards.

Dr. Han also emphasized the importance of regulatory compliance in the crypto space, pointing out that working within the legal framework is essential for the long-term success and sustainability of the industry.

Building trust beyond blockchain

Dr. Han's presentation at Seoul Meta Week highlighted the pressing need for improved security measures and industry collaboration in blockchain and cryptocurrency. By fostering an environment of trust and transparency and advocating for strong regulatory compliance, Gate.io and other industry players aim to strengthen the crypto ecosystem and instill confidence in the blockchain. As the crypto landscape continues to evolve, the focus on security and collaboration will be instrumental in shaping a robust and trustworthy digital economy.