Most of the time, a crypto hack doesn’t rely on technical genius. It relies on simple tricks: a fake website that looks just like a crypto exchange, a Telegram “support admin” asking you to verify your wallet, or a link that promises quick profit.
When people reach out to Global Ledger for investigation and crypto recovery services, we often notice the same repeating patterns behind their cases — regardless of whether the loss is a few thousand dollars or a six-figure amount. The tactics barely change; only the scale does.
That’s why we put together this quick guide. To help you recognise how the most common crypto hacks actually work, so you can avoid becoming the next target. And if something already happened, you’ll also find practical steps you can take right now to respond faster and protect your assets.
Before diving into specific examples, it’s important to understand that most crypto hacks don’t start with code vulnerabilities. They often begin with small moments of trust, shortcuts, or habits that seem harmless at first. The schemes below rely on simple interactions or routine actions — and that’s exactly why they’re so effective.
1. Private keys and recovery phrases — the silent breach
For many people, a crypto hack doesn’t begin with an on-chain exploit — it starts long before that. Someone might store their seed phrase in a notes app, save a screenshot “just to keep it handy,” or let a backup sync to the cloud without realizing the risk.
These “small” mistakes create one of the most damaging attack vectors in crypto. According to the Global Ledger’s report, in the first half of 2025 alone, private key compromises caused more than $650 million in losses (21.61% of total), remaining one of the leading sources of losses over the past several years.
And unlike many other threats, this one leaves almost no room for reversal — once a key is exposed, funds can be moved instantly and irreversibly.
How to protect yourself:
2. Malicious approvals — when one click hands over your assets
Malicious approvals often begin innocently. A person connects their wallet to a site that looks like a reward program, an airdrop, or a new “investment opportunity.” A simple approval pop-up appears — nothing unusual at first glance. But behind that click, they unknowingly grant unlimited access to their tokens.
In H1'25, malicious approvals accounted for only around 7% of all incidents but caused nearly 49% of the total stolen funds — approximately $1.46 billion lost, according to the same report.
How to protect yourself:
3. Phishing and fake platforms — when search results become traps
Phishing has moved far beyond suspicious emails. Today, attackers create polished websites that look identical to real exchanges, buy advertising placements to appear at the top of search results, and build fake “recovery” portals that mimic official services. Sometimes they even impersonate platform staff through social media, offering help or asking for verification.
A single misplaced click can expose wallet details or trigger a malicious transaction, and the funds can disappear within minutes.
How to protect yourself:
4. Investment scams — when confidence becomes a weapon
Many investment scams start with something that feels personal: a friendly mentor, an advisor showing screenshots, or a platform promising “guaranteed” returns. Some even send small payouts to look legitimate.
But when someone tries to withdraw, everything changes. Suddenly, there are fees, taxes, or “identity checks” requiring more deposits — a classic setup used in many Ponzi scheme operations disguised as crypto platforms.
How to protect yourself:
5. Malware and fake apps — when the attack lives inside your device
Some hacks begin with something as simple as downloading a seemingly harmless app or browser extension.
Malware disguised as a wallet tool, trading dashboard, or even a job-related application can silently monitor activity, capture private data, or replace wallet addresses during transactions. Some variants extract device backups, giving attackers everything they need to access funds.
How to protect yourself:
After a hack, funds rarely stay in the wallet where they were first moved. Most attackers follow similar laundering patterns, which are visible on-chain. Here are the most common destinations for stolen funds after a hack:
1. Cross-chain bridges are now the #1 tool for hiding stolen assets
In H1’2025, bridges processed more than half of all hacked funds, making them 4.4 times more popular than mixers.
2. Centralized exchanges remain the main off-ramp for illicit assets
About 15% of stolen funds eventually reach centralized exchanges (CEXs), where attackers attempt to convert crypto into fiat, often complicating the recovery of stolen crypto assets.
3. AMMs and liquidity pools are used as conversion and mixing layers
Even with lower illicit volumes than CEXs, AMMs still remain a common point in laundering chains and receive billions in risky assets every year. Attackers swap low-liquidity tokens, split balances across multiple assets, or deposit funds into liquidity pools to break the trace and make stolen assets harder to link to their original source.
But the critical point is timing. By analyzing 119 incidents from the first half of 2025, the Global Ledger investigation team found that the fastest fund movement after a hack occurred in just 4 seconds — roughly the time it takes to blink. That’s why time matters. The earlier you start tracing, the higher the chance to identify where funds went — and whether they can still be frozen.
If you’ve experienced a crypto theft or unauthorized transaction:
You’re not alone in dealing with situations like this; they affect both individuals and large organizations. What matters most is acting quickly and knowing where to turn next. If something has already occurred, we can assist you in tracing the movement of funds, identifying the entities involved, and preparing the evidence you may need for exchanges, law enforcement, or legal action.
If you need support with tracing stolen crypto and preparing a court-ready report, Global Ledger is here to help you move forward.