While blockchain security firms and law enforcement agencies develop strategies to catch these cybercriminals, cybercriminals also design new tactics for their operations.
By Godfrey Benjamin
Edited by Julia Sakovich
Updated
3 mins read
The broader crypto ecosystem saw a huge loss of over $9.38 million in several cryptocurrencies. These losses were through crypto attacks, fraud, and phishing scams. Almost 10,000 users were affected by the attacks, according to data from ScamSniffer.
In an X post from December 3, the blockchain analytics platform noted that crypto scams impacted 9,200 users. The largest single loss by an individual was worth $661,000 in stETH. StETH is a utility token representing a share of the total Ethereum ETH $3 337 24h volatility: 1.0% Market cap: $402.43 B Vol. 24h: $15.25 B staked through the protocol.
Other attacks included a $409,000 loss in WBTC WBTC $104 811 24h volatility: 0.7% Market cap: $13.54 B Vol. 24h: $260.73 M on the Arbitrum network and a $344,000 loss in FET FET $1.21 24h volatility: 0.9% Market cap: $3.15 B Vol. 24h: $173.39 M on Ethereum’s Uniswap platform. There was also a $220,000 loss in USDT USDT $1.00 24h volatility: 0.1% Market cap: $139.31 B Vol. 24h: $30.41 B on Ethereum via direct transfer.
🧵 [1/7] 🚨 ScamSniffer November Phishing Report
$9,380,000 STOLEN
9,208 VICTIMSNovember saw one victim lose $661K in stETH within minutes – and that's just the tip of the iceberg.
Let's dive into the dark side of Web3… 🧵 pic.twitter.com/HDyBGh5tPj
— Scam Sniffer | Web3 Anti-Scam (@realScamSniffer) December 3, 2024
From investigation, some analysts concluded that the breach happened as a result of the damage to a malicious signature request. In their opinion, this type of attack remains “the deadliest weapon”.
Compared to October, when the crypto industry recorded losses as high as $20.2 million, the current amount marks a 53% drop.
Still, the volume of affected users remains very high, which is quite troubling as investors need more confidence in the safety of their assets. In September, the crypto losses went as high as $46 million. ScamSniffer stated that there is an evolving trend amongst these bad actors.
While blockchain security firms and law enforcement agencies develop strategies to catch these cybercriminals, cybercriminals also design new tactics for their operations. In ScamSniffer’s opinion, fake accounts on X are at the top of the list of sources for phishing. Next to this are dubious Google ads that redirect users to scam sites.
A month ago, Coinspeaker reported that crypto scammers use the identity of a well-known figure to deceive people into falling for their trap. Often, they hack into their social media pages or create an account that looks similar to the original. Another less common trick is fabricating fake news to deceive users. This incident happened in India a few weeks ago.
There was misleading news that the son of Indian billionaire Anant Ambani endorsed a crypto investment platform dubbed “Everix Edge”. The perpetrators went as far as fabricating a BBC article attributed to former BBC journalist Jane Wakefield. Upon investigation, it happened that Wakefield had no such article published.
Recently, blockchain analytics platform CertiK highlighted that crypto losses from phishing scams and attacks in Q3 went as high as $343.1 million across 65 incidents. Law enforcement agencies like the Federal Bureau of Investigation (FBI) are putting effort into reducing such incidents.
In mid-November, police in South Korea arrested a large group of scammers involved in a cryptocurrency investment scam that raked in over $230 million.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Benjamin Godfrey is a blockchain enthusiast and journalist who relishes writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desire to educate people about cryptocurrencies inspires his contributions to renowned blockchain media and sites.
