• A crypto whale lost $35 million in the phishing scam.
  • The attack caused the fwDETH price to drop from $2K to $100.

A crypto whale recently fell victim to a phishing scam, losing nearly 15,079 Few Wrapped Duo ETH (fwDETH), worth $35 million on the Blast network. The attack occurred after the victim signed unknowingly a fraudulent “permit” signature, which allowed the attacker to drain funds from the wallet.

The targeted whale address of the phishing scam was identified as 0xeab23c1e3776fad145e2e3dc56bcf739f6e0a393 and the hacker’s address as 0x0605edee6a8b8b553cae09abe83b2ebeb75516ec. Moreover, the decentralized trading platform Duo Exchange assured users that its protocols remained safe and stated,

“We are aware of the recent phishing attack on some of the whales of Duo. Over 10k DETH was dumped on AMMs to cause a depeg of DETH price.”

Moreover, the blockchain security firm, Scam Sniffer provided few insights about the attacker’s method. It explained the usage of utilized temporary token spender addresses generated through the CREATE2 function. This approach makes detection difficult, as it enables the generation of new contract addresses in a predetermined way.

On the other side, the quickly liquidated stolen assets led fwDETH to a sharp decline in value due to the attacker’s sale. After a few hours of the incident, the value of DETH has dropped over 90% from $2000 to $100 before recovering back to $1,299, at the time of writing, as per CMC data. The sudden plunge in token prices led to significant issues on chains like Orbit Finance and PAC Finance.

Highlighted Crypto News

Is Ethereum (ETH) on the Brink of Falling Under $2.4K?