Important Insights:
In the first half of 2025, over $2.4 billion was stolen, surpassing the total for all of 2024.
Common pitfalls like phishing, harmful approvals, and fake “support” cause more harm than complex exploits.
Implementing strong 2FA, careful signing practices, separating hot and cold wallets, and using clean devices can significantly mitigate risks.
Having a recovery strategy — with revocation tools, support contacts, and reporting channels — can transform a mistake into a manageable setback instead of a catastrophe.
Crypto theft continues to escalate. In just the first half of 2025, security firms documented over $2.4 billion stolen across more than 300 incidents, already exceeding the total thefts of 2024.
A significant breach, the Bybit theft linked to North Korean groups, skewed the numbers higher, but shouldn’t dominate the discussion.
Most daily losses stem from basic traps: phishing links, harmful wallet approvals, SIM swaps, and fake “support” accounts.
The silver lining: You don’t need to be a cybersecurity expert to enhance your safety. A few fundamental habits (which can be established in minutes) can significantly lower your risk.
Here are seven key practices for 2025.
1. Move Away from SMS: Use Phishing-Resistant 2FA Everywhere
If you’re still depending on SMS codes to secure your accounts, you’re leaving yourself vulnerable.
SIM-swap attacks remain prevalent and are a common method for criminals to deplete wallets, with millions being seized by authorities.
The wiser choice is phishing-resistant two-factor authentication (2FA), such as hardware security keys or platform passkeys.
Begin by securing your most critical logins: email, exchanges, and your password manager.
U.S. cybersecurity agencies like the Cybersecurity and Infrastructure Security Agency emphasize this because it blocks phishing tactics and “push-fatigue” scams that circumvent weaker forms of multi-factor authentication (MFA).
Pair this with long, unique passphrases (length is more important than complexity), store backup codes offline and on exchanges, and activate withdrawal allowlists to ensure funds only move to addresses you control.
Did you know? Phishing attacks targeting crypto users increased by 40% in the first half of 2025, with counterfeit exchange sites being a primary vector.
2. Signing Hygiene: Prevent Drainers and Harmful Approvals
Most individuals don’t lose funds to sophisticated exploits; they lose them due to a single poor signature.
Wallet drainers can manipulate you into granting unlimited permissions or approving misleading transactions. Once you sign, they can repeatedly drain your funds without further consent.
The best countermeasure is to take your time: Review every signature request closely, especially if you see “setApprovalForAll,” “Permit/Permit2,” or an unlimited “approve.”
If you’re experimenting with new decentralized applications (DApps), consider using a burner wallet for mints or risky interactions, keeping your primary assets in a separate vault. Regularly revoke unused approvals using tools like Revoke.cash — it’s straightforward and worth the modest gas cost.
Researchers are already tracking a notable rise in thefts driven by drainers, particularly on mobile. Good signing habits can break this cycle before it begins.
3. Hot vs. Cold: Separate Your Spending from Your Savings
Think of wallets similarly to bank accounts.
A hot wallet functions like your checking account — ideal for spending and engaging with apps.
A hardware or multisig wallet acts as your vault — designed for secure, long-term storage.
Keeping your private keys offline minimizes nearly all exposure to malware and malicious sites.
For long-term savings, write your seed phrase on paper or steel: Never keep it on a phone, computer, or cloud service.
Test your recovery setup with a small restoration before moving significant funds. If you feel comfortable managing additional security, consider incorporating a BIP-39 passphrase, but remember losing this means losing access permanently.
For larger balances or shared treasuries, multisig wallets can require signatures from two or three different devices before approving any transaction, making theft or unauthorized access significantly harder.
Did you know? In 2024, private key compromises accounted for 43.8% of all stolen crypto funds.
4. Device and Browser Hygiene
Your device setup is just as crucial as your wallet.
Updates fix the very vulnerabilities attackers exploit, so enable automatic updates for your operating system, browser, and wallet applications, and reboot as needed.
Keep browser extensions to a minimum — several high-profile thefts have resulted from hijacked or malicious add-ons. Utilizing a dedicated browser or profile exclusively for crypto helps prevent cookies, sessions, and logins from leaking into regular browsing.
Hardware wallet users should disable blind signing by default: It conceals transaction details and exposes you to unnecessary risk if tricked.
Whenever possible, carry out sensitive actions on a clean desktop instead of a phone loaded with apps. Aim for a minimal, updated setup with as few potential attack vectors as feasible.
5. Verify Before You Send: Addresses, Chains, Contracts
The simplest way to lose crypto is by sending it to the wrong destination. Always double-check both the recipient address and the network before hitting “send.”
For first-time transfers, conduct a small test payment (the additional fee is worth the peace of mind). When dealing with tokens or non-fungible tokens (NFTs), confirm you have the correct contract by checking the project’s official site, reputable aggregators like CoinGecko, and explorers such as Etherscan.
Look for verified code or ownership badges before interacting with any contract. Never manually input a wallet address — always copy and paste it, and verify the first and last characters to avoid clipboard swaps. Avoid copying addresses directly from your transaction history, as dusting attacks or spoofed entries may mislead you into reusing a compromised address.
Exercise extra caution with “airdrop claim” websites, particularly those requesting unusual approvals or cross-chain actions. If something feels off, pause and verify the link through official project channels. If you’ve already granted suspicious approvals, revoke them immediately before continuing.
6. Social Engineering Defense: Romance, “Tasks,” Impersonation
The biggest crypto scams often don’t depend on technology — they rely on human interaction.
Romance and pig-butchering schemes create fake relationships and use counterfeit trading dashboards to display fabricated profits, then coerce victims to deposit more or pay fictitious “release fees.”
Job scams frequently start with friendly messages on WhatsApp or Telegram, offering micro-tasks and minimal payouts before transitioning into deposit schemes. Impersonators posing as “support staff” may then attempt to screen-share with you or deceive you into revealing your seed phrase.
The telltale sign is always the same: Genuine support will never request your private keys, direct you to a lookalike site, or demand payment through Bitcoin ATMs or gift cards. When you notice these red flags, sever contact immediately.
Did you know? The number of deposits into pig butchering scams increased by roughly 210% year-over-year in 2024, despite the average deposit amount declining.
7. Recovery Readiness: Making Mistakes Manageable
Even the most diligent individuals can err. The difference between disaster and recovery lies in preparation.
Maintain a compact offline “break-glass” card containing your key recovery resources: verified exchange support links, a reliable revocation tool, and official reporting portals like the Federal Trade Commission and the FBI’s Internet Crime Complaint Center (IC3).
If something goes awry, include transaction hashes, wallet addresses, amounts, timestamps, and screenshots in your report. Investigators often link multiple cases through these shared information points.
You may not retrieve funds immediately, but having a strategy in place transforms a total loss into a manageable mistake.
If the Worst Happens: What to Do Next
If you’ve clicked on a malicious link or mistakenly sent funds, act quickly. Move any remaining assets to a new wallet you fully control, then revoke old permissions using reliable tools like Etherscan’s Token Approval Checker or Revoke.cash.
Change your passwords, switch to phishing-resistant 2FA, log out of all other sessions, and check your email settings for any unauthorized forwarding or filtering rules.
Then escalate: Notify your exchange to flag the destination addresses and file a report with IC3 or your local authority. Include transaction hashes, wallet addresses, timestamps, and screenshots; these details assist investigators in connecting cases, even if recovery is time-consuming.
The broader takeaway is straightforward: Seven practices (strong MFA, careful signing, separating hot and cold wallets, maintaining clean devices, confirming before sending, remaining vigilant against social engineering, and having a recovery plan) defend against the majority of everyday crypto threats.
Start small: Upgrade your 2FA and refine your signing hygiene today, then build from there. A little preparation now can prevent catastrophic losses later in 2025.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
