A crypto Investors have recently had to bear the brunt phishing attack. Phishing is a deceptive technique in which scammers pose as trusted entities to trick individuals into providing personal information or credentials. The victim lost more than $24 million ether (ETH). A painful loss for investors of all sizes.
Specifically, it was about stETH and rETH tokens. These are Ethereum tokens on the decentralized and fluid Strike protocol Lido and Rocket Pool. According to well-known scammer and Web3 twitterer Scam Sniffer, the victim allegedly gave the scammer permission to perform certain actions with their tokens by signing transactions that transfer entitlement or “allowance”. In hindsight, it turned out that this was a big mistake.
The attacker is linked too many scam websites. At on chain Data shows that the scammer exchanged the staked tokens for almost 14,000 ETH (currently around $22.5 million). ETH exchange rate) and 1.64 million DAI.
Scam on PancakeSwap
Unfortunately, scams are a common problem in the crypto world. Despite all the benefits that decentralization has to offer, it comes with an added maintenance burden when it comes to self-sustainability.
We also saw another scam late last month. John A. DeSalvo, a former US prison lieutenant, is arrested by police Securities and Exchange Commission (SEC) accused the launch of a fraudulent cryptocurrency, the Blazar token. Between November 2021 and May 2022, DeSalvo raised more than $600,000 from 222 investors. He positioned the currency as an alternative to traditional government pension schemes for first responders and promised high returns. He also falsely claimed that the token is certified by the SEC.
The Blazar token was sold through PancakeSwap, a decentralized exchange. Investors were lured into a “lockup period,” meaning they were unable to sell or trade their investment. Within two weeks, the token lost almost all of its value.
