Web3 Glossary C~ Cryptojacking — Is your device working behind your back?

Cryptojacking is the unauthorized use of someone else’s computing power to mine cryptocurrency. Attackers achieve this by installing malicious software on the victim’s device, which then secretly leverages the device’s resources to solve complex mathematical problems. These problems are used to validate cryptocurrency transactions, and successful solutions are rewarded with cryptocurrency, which the attacker accumulates for their own benefit.

Cryptojacking: A Bulletproof Breakdown

1. Delivery Methods:

• Phishing emails with infected links or attachments
• Malicious scripts on compromised websites (drive-by downloads)

2. Taking Root:

• Exploiting software vulnerabilities (outdated programs)
• Social engineering tricks (disguised software, deceptive tactics)

3. The Covert Operation:

• Stealing processing power to solve complex mathematical problems
• These problems verify cryptocurrency transactions
• Successful solutions earn cryptocurrency for the attacker

4. Profit Motive:

• Accumulation: Attacker gathers the mined cryptocurrency over time
• Cashing Out: Transferring stolen crypto to their own wallet for profit

A Growing Threat:

• Prevalence on the Rise: A 2022 report by McAfee (https://www.mcafee.com/) revealed a staggering 78% increase in cryptojacking attempts compared to the previous year, highlighting its concerning growth.
• Early Signs: The first recorded instance of cryptojacking dates back to 2011, targeting users of the popular online game Second Life.

The Cost of Covert Mining:

• Billions Lost: Estimates by CipherTrace (https://ciphertrace.com/) suggest that in 2021 alone, cryptojacking resulted in over $1.5 billion worth of stolen processing power.
• Performance Impact: Studies have shown that cryptojacking can significantly reduce computer performance by up to 80%, hindering productivity and user experience.