X-based Crypto Phishing Scams Stole $47 Million in February

• Crypto scammers stole close to $47 million in February according to Scam Sniffer
• The malicious actors siphoned the funds from 57,000 victims on X
• The amount stolen was lower than what the scammers pocketed in January

Crypto scammers on X (formerly Twitter) pocketed close to $47 million from 57,000 victims through phishing scams in February alone. The victims fell for comments made by malicious actors who impersonated accounts belonging to respected web3 firms like Optimism, Portal, and zkSync. According to blockchain sleuth Scam Sniffer, although the number of victims was higher than in the previous month, the amount stolen was lower than in January, which may be due to the scammers changing their tactics allowing them to nab more casualties.

Genuine Code Snippets Used with Wallet Drainers

Scam Sniffer discovered that Ethereum-based ERC tokens accounted for most of the stolen funds with Ethereum-powered tokens taking up 86% of the stolen stash. Most of the victims, especially on Ethereum, saw their wallets emptied after signing malicious transactions.

🚨 [1/6] ScamSniffer’s February Phishing Report
In February, about 57,000 victims lost approximately $47 million to crypto phishing scams.
Compared to January, the number of victims who lost over $1 million decreased by 75%. pic.twitter.com/UgZk0K91lH

— Scam Sniffer | Web3 Anti-Scam (@realScamSniffer) March 10, 2024

One tactic used by the malicious actors pairing genuine code snippets like Create2 with wallet drainers to steal funds. Another recently discovered trick is the bit-flip attack that allows scammers to change the rules of a transaction after a victim has signed a harmless-looking transaction.

The blockchain researcher also noted that the number of victims who lost more than $1 million in February was 75% lower than in January.

Microstrategy X Account Hacked

Although the scammers mimic the X accounts of popular blockchain or crypto-focused entities, they sometimes hack into the real accounts. Two weeks ago, for example, Microstrategy’s X account was hacked and hackers stole over $400,000 from followers.

Rocket Pool’s X account was also hacked and followers were directed to a wallet drainer. Scam Sniffer’s report confirms a growing phenomenon where malicious actors are deviating from directly hacking into crypto wallets and using other means to drain wallets.

With a change of tactic, the scammers will likely nab both veterans and novices in the crypto and blockchain space.