Crypto Hack Weekly Report: $36M Whale Loss, dETH Crash, and FBI’s Market Manipulation Sting
Cryptocurrencies are known for their volatility and susceptibility to hacking, and this week’s news highlights just how risky the industry can be. Three major events have shaken the crypto world, showcasing the vulnerabilities that exist within the sector.
A whale, who was overly enthusiastic about DeFi, fell victim to a phishing scam and lost a staggering $36 million in fwDETH tokens. This led to a sharp decline in the dETH market, with prices plummeting by over 90% before eventually stabilizing. The hacker was able to transfer out the stolen tokens almost immediately, causing panic among investors.
In another incident, an investor lost $6 million worth of tokens in a phishing attack targeting EIGEN Layer. Despite the theft, EIGEN Layer reassured users that there was no flaw in their protocol and that the attack was isolated to the compromised investor’s email account.
On a more positive note, U.S authorities took action against market manipulation in the crypto space by charging 18 individuals and firms, including Gotbit Consulting. The FBI, SEC, and Department of Justice collaborated to arrest the accused and seize $2.4 million in cash and cryptocurrencies. The investigation uncovered a scheme involving the fake token NexFundAI, which was used to expose the manipulation tactics employed by the suspects.
As the crypto industry continues to evolve, it is crucial for users to exercise caution and remain vigilant against potential threats. Checking signatures and verifying links can help protect assets from falling victim to scams. By staying informed and educated, investors can navigate the risks inherent in the crypto space and avoid becoming the next target of malicious actors.
Source: Coinpedia
