Crypto Cyberattacks Grow More Complex, AI Strengthens Security Systems

The complexity of cyberattacks on the crypto asset ecosystem continues to evolve alongside the rising value of digital assets. This situation is driving the industry to utilise artificial intelligence (AI) to strengthen security systems and accelerate the detection of potential threats. According to data from DeFiLlama, at least 127 security incidents caused losses of approximately 947 million US dollars between January and June 2026. This indicates that attack patterns on the blockchain ecosystem are becoming increasingly complex, requiring a more adaptive security approach. The complexity of these threats was evident in two hacking incidents in April 2026 affecting Drift Protocol and KelpDAO, with total losses of around 577 million US dollars. A TRM Labs report noted that these two incidents accounted for approximately 76 per cent of the total value of crypto assets stolen up to April 2026. In addition to exploiting code vulnerabilities, perpetrators are also beginning to target blockchain infrastructure and utilise social engineering. Indodax CEO William Sutanto stated that the development of AI opens opportunities for the crypto asset and blockchain industry to strengthen security systems more proactively. “What is changing now is not just the number of attacks occurring, but also their level of complexity. Cybercriminals are increasingly organised and utilise various methods that are difficult to detect with conventional approaches. Therefore, security systems must also be able to adapt more quickly, and AI is one of the technologies with great potential to support this effort,” said William. According to William, unlike traditional audits conducted periodically, AI enables continuous smart contract analysis and risk monitoring, so that various potential vulnerabilities can be identified more quickly before they develop into larger incidents. Several technology companies have utilised AI to strengthen blockchain security, including Frosty developed by Coinbase and Mythos from Anthropic. These technologies support internal audits, smart contract analysis, on-chain activity monitoring, and the identification of abnormal transactions in real-time. Nevertheless, William stressed that AI is not the sole solution for maintaining digital asset security. He asserted that AI acts as a resource multiplier that accelerates technical detection. However, blockchain security remains an ecosystem with layered protection. “The foundation lies in regulated governance, independent audits, strict access management, increased awareness at the user level, including KYC and security hygiene, as well as competent human resources capable of making the right decisions. Because, no matter how sophisticated the technology, it still requires competence, integrity, and human judgement behind it,” said William. William stated that AI’s current advantage lies not only in its ability to accelerate the analysis process but also in supporting continuous risk monitoring. This approach allows industry players to detect potential threats earlier while accelerating mitigation measures. “Going forward, the measure of blockchain security will no longer be determined solely by how often a system is audited, but also by how quickly the system can detect, analyse, and respond to evolving threats. This is where AI is beginning to play an increasingly important role as a supporter of a more adaptive security system,” said William. William said that Indodax continues to strengthen security standards through the application of technology, governance, and user education. One such effort is through cooperation with Chainalysis to strengthen on-chain activity monitoring, risk management, and compliance systems to support the improvement of national crypto asset industry security standards.