Pink Drainer, a hacker group infamous for siphoning millions in cryptocurrency, has ironically become the victim of an “address poisoning” scam, losing a significant amount of Ether (ETH) in the process.
Caught in Their Own Web
Crypto compliance platform MistTrack revealed the incident on July 7th, highlighting how Pink Drainer lost 10 ETH, roughly $30,000 at the time, to a cleverly disguised wallet address in late June.
In an interview, MistTrack explained address poisoning scams. Attackers exploit human error by sending small crypto amounts from a wallet with an address strikingly similar to the victim’s regular transaction recipient. This tactic aims to trick the victim into accidentally copying and pasting the scammer’s address instead of their intended recipient’s.
“Scammers use bots to find new transactions,” MistTrack explained. “They can’t crack the entire address code, but they can manipulate the first and last few characters to mimic the real address.”
A Costly Mistake for Pink Drainer
The attackers successfully mimicked an address used by Pink Drainer, leading them to unknowingly send 10 ETH to the imposter’s wallet. This incident adds a layer of irony considering Pink Drainer’s recent announcement on May 17th of their supposed retirement. They claimed to have achieved their goal of stealing over $85 million in crypto assets.
Drainer Tools Still a Threat
While Pink Drainer’s exit might seem like positive news, data from Dune Analytics paints a concerning picture. Since July 2023, Pink Drainer is estimated to have stolen a staggering $85.3 million in crypto. However, their departure doesn’t eliminate the threat. Several other “drainer toolkit” services, like Angel Drainer, Pussy Drainer, and Venom Drainer, remain active, empowering bad actors to steal crypto from unsuspecting victims.
This incident serves as a stark reminder for crypto users to exercise extreme caution when copying and pasting wallet addresses. Double and triple-checking recipient addresses before sending any cryptocurrency is crucial to avoid falling prey to similar scams.
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.
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