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Key Takeaways
- A crypto user lost $908K in USDC after signing a malicious approval 15 months earlier.
- The scammer waited for large deposits before draining the wallet in a single strike.
- Revoking old token approvals is vital to prevent long-tail phishing attacks.
A crypto investor has lost over $908,000 in USDC after unknowingly signing a malicious approval transaction more than a year ago. The attacker waited 458 days to execute the scam — a hallmark tactic of phishing approval attacks.
A Dormant Wallet Turned Target
According to onchain data, the theft occurred on August 2 at 4:57 am UTC. The attacker drained funds from the wallet after two large deposits were made in early July. The scam originated from a phishing approval transaction signed on April 30, 2024, which allowed the scammer ongoing access to the victim’s wallet.
The attacker’s wallet, “0x67E5Ae”, is reportedly linked to pink-drainer.eth, a known scam operator. Despite the approval being dormant for over a year, the attacker struck only after spotting significant funds.
Attacker Waited for High-Value Deposits
The wallet in question remained largely inactive until July 2, when $762,397 in USDC was deposited from a MetaMask wallet, followed by another $146,154 from a Kraken account. These transactions likely signaled the attacker to move.
This strategy of “lying in wait” is common in phishing approval scams — attackers monitor compromised wallets until the balance justifies the gas cost of draining it.
Prevention Is Possible — But Often Overlooked
Security platform Scam Sniffer, which flagged the attack on X (formerly Twitter), emphasized the importance of regularly revoking token approvals. Tools like Etherscan’s Token Approval Checker allow users to review and revoke unnecessary permissions, albeit with a gas fee.
Phishing approval scams are becoming more frequent, as over $142 million was lost in crypto hacks in July alone, across at least 17 incidents.
Also Read: Crypto Hacks Top $142M in July — CoinDCX, GMX, and WOO X Lead Major Losses
Conclusion: Don’t Let Old Approvals Cost You
This case serves as a critical reminder for crypto users to routinely audit wallet permissions. Delayed scams like this highlight the risks of overlooking long-forgotten approvals, especially as scammers become more patient and strategic.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m your translator between the financial Old World and the new frontier of crypto. After a career demystifying economics and markets, I enjoy elucidating crypto – from investment risks to earth-shaking potential. Let’s explore!
