Hypernative, a Web3 security firm based in Tel Aviv, has raised US$40 million in its series B funding round.

The round was co-led by Ten Eleven Ventures and Ballistic Ventures, both of which specialize in cybersecurity.

The company focuses on real-time detection and mitigation of blockchain-related threats.

Its platform is used by more than 200 organizations and reportedly protects assets worth over US$100 billion.

The new funding will enable Hypernative to expand its services to include fraud prevention and wallet-level transaction security.

🔗 Source: Calcalist

🧠 Food for thought

1️⃣ Web3 security incidents are rapidly escalating despite industry maturation

The first quarter of 2025 alone recorded over $2 billion in Web3 security losses, representing a dramatic 96% increase compared to the same period in the previous year 1.

This escalation comes despite the industry’s development of specialized security firms since 2017-2018, with companies like Hacken, CertiK, and Quantstamp now collectively protecting hundreds of billions in digital assets 234.

The attack vectors are evolving beyond early-stage vulnerabilities, with access control exploits now responsible for over $1.6 billion in losses while smart contract exploits account for less than 2% of total damages 1.

Major incidents like May 2025’s $266 million Cetus Protocol exploit demonstrate how sophisticated attacks are targeting liquidity pools and token pairs within specific ecosystems, causing widespread disruption beyond the immediate financial loss 5.

These trends reveal a concerning reality: as Web3 infrastructure grows more sophisticated, so do the methods of those seeking to exploit it, creating an ongoing arms race between security providers and malicious actors.

2️⃣ Security firms are shifting from reactive auditing to proactive threat prevention

The Web3 security industry is evolving beyond traditional code audits toward real-time monitoring and preventative measures, reflecting the increasing sophistication of attacks.

BlockSec’s Phalcon platform exemplifies this shift by scanning transactions at the mempool stage and automatically initiating countermeasures like gas-bidding strategies to block attacks before they execute 6.