Detective of Web3 Exposes $4.2 Million Phishing Scam Exploiting Malicious Opcode

An Unknown User Loses $4.2 Million in Cryptocurrency

An unidentified individual lost $4.2 million worth of aEthWETH and aEthUNI tokens on January 22. The loss occurred after the victim verified transactions using a falsified ERC-20 permission signature. By signing approvals with an ERC-20 authorization, the victim unknowingly bypassed security warnings that allowed the perpetrator to redirect funds to an unauthorized address.

Understanding Opcode Malware and Its Role in Crypto Hacks

Opcode malware refers to malicious software that exploits the operation codes used in cryptocurrency platforms. This type of malware can redirect cryptocurrency to the attacker’s address, enable the spending of other users’ funds, or freeze assets within a smart contract.

victim:
0x1749ad951fb612b42dc105944da86c362a783487

scammers:
0x0000372B2BC916D6c904495e53533Ae90740F688
0xf672775e124E66f8cC3FB584ed739120d32bBaad

— Scam Sniffer | Web3 Anti-Scam (@realScamSniffer) January 22, 2024

Protecting Yourself from Cryptocurrency Scams

To avoid falling victim to such scams, it is crucial to exercise caution when signing and approving transactions. Pay close attention to warnings from Web3 wallet apps. Additionally, conducting your own research (DYOR) is essential in the crypto space. By being knowledgeable about phishing techniques and various forms of scams, you can better protect yourself.

Rising Concerns: Phishing Attacks and MEV Bots

In 2023, phishing attacks resulted in users losing nearly $295 million, making it the most commonly used form of scam by hackers. Furthermore, a Uniswap user lost over $700,000 within seconds due to a configuration error that attracted the attention of MEV bots. These bots aim to maximize profits by manipulating transactions within a block.

Hot Take: Vigilance is Key in the Crypto World

As the popularity of cryptocurrencies continues to grow, so does the risk of falling victim to scams and hacks. It is crucial for crypto enthusiasts to remain vigilant and stay informed about potential threats. By staying cautious, conducting thorough research, and keeping up with the latest security measures, you can minimize the risk of losing your hard-earned funds in the volatile world of cryptocurrencies.