Crypto Whale Loses $32 Million in Major Phishing Attack

A recent phishing attack has resulted in a crypto whale losing over $32 million in altcoins, marking a significant event in the DeFi sector.

The theft, initially reported by blockchain security service ScamSniffer, involved the loss of 12,083 wrapped Ethereum (spWETH) tokens from the DeFi protocol Spark. The whale’s funds were drained after they inadvertently approved a malicious transaction.

This incident is linked to Inferno Drainer, a notorious platform that specializes in “fraud as a service,” targeting DeFi users with counterfeit applications to gain control of their wallets. According to Arkham, Inferno Drainer has amassed over $215 million in stolen assets from more than 200,000 victims, taking a 20% commission on all thefts.

Though the victim’s identity remains unconfirmed, some suggest it might be associated with a whale known as CZSamSun, distinct from Paradigm researcher @samczsun. In a bid to recover the stolen funds, the victim offered a 20% reward to the hacker but received no response.

Meanwhile, blockchain analytics firm LookOnChain has issued warnings to users about the importance of avoiding unknown links and verifying transactions before approval. Despite a decline in online hacking incidents, there has been a noticeable increase in physical cryptocurrency thefts recently.