Ethereum News Today: $1.6M lost to crypto address poisoning scams this week as fraud tactics evolve

Scammers exploiting a tactic known as "crypto address poisoning" have reportedly siphoned off $1.6 million in cryptocurrency this week, surpassing the total losses recorded in March 2025 [1][2]. The method involves contaminating the transaction history of a wallet address to mislead victims into sending funds to a fraudulent destination. A notable case occurred on Friday, when an individual lost 140 Ether (ETH), valued at around $636,500, after copying an incorrect address from their transaction history [1]. ScamSniffer, a crypto scam prevention platform, reported that the victim’s transaction history was "full of poison address attacks," indicating that the scam was likely to succeed eventually [1].

Another significant loss occurred on Sunday, with a victim draining $880,000 worth of USDT after falling for an address poisoning scheme. The same victim attempted to resend funds from three other wallets, further exposing the extent of the scam [1]. Additional reports revealed losses of $80,000 and $62,000, contributing to the week’s cumulative total [1].

Address poisoning relies on mimicking legitimate wallet addresses and creating the illusion of a trustworthy transaction history. Scammers send small transactions from fake but visually similar addresses, making it easy for victims to inadvertently copy the wrong one [1]. According to Web3 Antivirus, a blockchain security provider, this technique exploits the user's reliance on transaction history as a verification tool [1]. ScamSniffer further explained that this leads to "transaction history poisoning," where the victim believes they are sending funds to a verified address, but instead transfers the assets to a scammer [1].

In addition to address poisoning, at least $600,000 was lost this week through malicious signature signing attacks. These involve tricking victims into approving fraudulent transactions using deceptive functions such as "approve," "increaseAllowance," and "permit" [1]. On Tuesday, one individual lost $165,000 in BLOCK and DOLO tokens after mistakenly signing such a request [1]. ScamSniffer urged users to "use an address book or whitelist and verify the full address before sending," emphasizing the importance of due diligence in digital asset transfers [1].

The rise in address poisoning incidents highlights the growing sophistication of crypto-related fraud. With no central authority to reverse transactions and a high degree of anonymity, victims often have no recourse once funds are transferred [1]. The Ethereum network appears to be a primary target, given the significant losses tied to Ether in the reported cases [1]. However, the extent to which other cryptocurrencies are affected remains unclear.

Security experts emphasize the need for increased awareness and proactive measures to prevent such attacks. Verifying wallet addresses, using trusted tools to scan transaction histories, and maintaining a secure digital environment are key steps in minimizing exposure to these scams [1]. As blockchain adoption continues to expand, so too does the potential for exploitation, underscoring the importance of education and vigilance in the digital finance ecosystem [1].

Source:

[1] Cointelegraph - https://cointelegraph.com/news/1-6m-lost-wave-crypto-address-poisonings-this-week

[2] advfn.com - https://mx.advfn.com/bolsa-de-valores/COIN/BTCUSD/crypto-news/96644678/crypto-address-poisoning-scammers-netted-1-6m-thi

[3] advfn.com - https://mx.advfn.com/bolsa-de-valores/COIN/BTCUSD/crypto-news/96644677/sorry-eth-holders-ou-may-have-to-wait-longer-for