In a devastating phishing attack, a crypto user lost $11.1 million worth of cryptocurrency just a few hours ago. The attack led to the theft of 3,657 MKR tokens, valued at $8.7 million. The attack also included 2.56 million PT Ethena tokens, worth $2.4 million. This significant loss was reported by Lookonchain which is a blockchain analysis platform.
Someone lost $11.1M in a phishing attack 5 hrs ago!He was exploited for 3,657 $MKR($8.7M) and 2.56M PT Ethena tokens($2.4M).The exploiter sold 3,657 $MKR for 2,502 $ETH($8.7M), causing the price of $MKR to drop by 7%.And swapped 2.56M PT Ethena tokens for 689 $ETH($2.41M).… pic.twitter.com/PNcQNCZ9Pc
— Lookonchain (@lookonchain) June 23, 2024
Massive MKR Sale Drops Price by 7% After Phishing Attack
The attacker liquidated the stolen 3,657 MKR tokens for 2,502 ETH which is equivalent to $8.7 million. This large sale led to a decrease in the price of MKR by 7% as such a massive transaction affects the market. Besides the MKR tokens, the scammer exchanged the 2.689 *ETH* for 56 million PT Ethena tokens with a current value of $2.41 million.
Phishing attacks in the cryptocurrency world for the most part target users to make them sign fake transactions or reveal their private key. Specifically, this attacker employed a method called “Permit” phishing. This technique involves making false transaction requests that seem to be authentic. By signing these requests, the user is unaware that they are authorizing the scammer to control their crypto funds.
$11.1M Phishing Attack Underscores Need for Crypto Security
This event reminds why security is such a crucial factor in the field of cryptocurrencies. Users should always check the authenticity of the transaction notifications and be wary of any unfamiliar messages or signature requests. The usage of reliable security solutions, for example, hardware wallets can contribute to the increase of security because additional physical actions are necessary to perform the transaction. It is also essential to familiarize oneself with the various phishing attacks and scams to be able to identify potential threats.
Because transactions involving cryptocurrencies are non-reversible. When tokens are transferred to a scammer’s address, there is often little that one can do to get the tokens back. This case makes one realize that one has to be extra careful and cover up for one’s back when dealing with issues to do with documents and hackers.
Similarly, the $11.1 million in a phishing attack demonstrates that the cryptocurrency market is lethal. Despite such threats, the users should be more cautious, and adopt strict security measures for their digital properties.