Beware! The Latest Crypto Scam “Address Poisoning” Targeting Active Users

Taiwo Owolabi
2 min readMar 31, 2024

In the ever-evolving world of cryptocurrency, staying vigilant is key to safeguarding your hard-earned assets. Lurking in the shadows of the digital realm is a new breed of scam that’s targeting those who frequently engage in transactions. This new crypto scam is called the “Address Poisoning” scam, and it’s leaving a trail of victims in its wake.

But how does this scam work, and how can you protect yourself?

Picture this: You’re diligently sending crypto to a trusted recipient when suddenly, without realizing it, you’re duped into sending it to the wrong address belonging to a scammer. Yes, it’s that easy. Through the art of social engineering, scammers analyze your transaction patterns, mimicking the addresses you often transact with to craft their deceptive trap.

Here’s how they do it step by step:

  1. Crafting Deception: Armed with open-source tools like Profanity or through the creation of vanity addresses, scammers meticulously construct addresses that bear a striking resemblance to yours. For example, if your recipient address is 0x346yyftr654t6rftyf5t6, they can come up with 0x345 yyftr654t6rftyf5t6. What did you notice? Go back and check.
  2. The Poisoning Begins: Once they’ve got their bait set, scammers send minuscule amounts of tokens to your address, poisoning your transaction history with their nefarious addresses masquerading as yours.
  3. The Perils of Partial Viewing: Wallet addresses are often shortened, showing only the first and last characters. This partial view sets the stage for disaster as victims unknowingly select the scammer’s address from their transaction history.
  4. The Grim Outcome: And just like that, you’ve fallen victim to the scam. Your funds are now in the hands of the fraudster, leaving you empty-handed and bewildered.

But fear not, for knowledge is your greatest weapon against this digital menace.

Here’s how you can shield yourself:

  1. Verify, Verify, Verify: Always double-check the full address before sending any crypto. Don’t fall into the trap of relying solely on the first and last characters.
  2. Lean on Technology: Utilize features like the Address Book in MetaMask or Trust Wallet to securely store and verify recipient addresses.
  3. Stay Informed: Keep yourself updated on the latest scams and security measures shared by reputable sources within the crypto community.

In a world where every transaction carries the risk of deception, staying cautious is paramount. So, the next time you’re about to hit that send button, remember, a moment of scrutiny could save you from a world of regret. Don’t let the scammers win — stay sharp, stay safe.

Share this with your Family and Friends

--

--