Based on AiCoin, a crypto trader lost nearly $50 million in USDT on December 20 after falling victim to a sophisticated 'address poisoning' scam. Attackers created a fake wallet address that matched the first and last four characters of the victim's legitimate address, which appeared identical due to standard address truncation in wallets and block explorers. The victim, who had initially sent a 50 USDT test transaction, later copied the forged address from their transaction history and sent 49,999,950 USDT to the scammer. Within 30 minutes, the stolen funds were converted to DAI, then to ETH, and laundered via Tornado Cash. Security experts warn that such scams are becoming more common as crypto assets hit new highs. Users are advised to always copy addresses directly from the 'Receive' tab in their wallets and to whitelist trusted addresses to avoid similar losses.
Crypto Trader Loses $50M USDT in Address Poisoning Scam
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Summary
A crypto scam alert has been issued after a trader lost $50 million in USDT on December 20 to an address poisoning scam. Attackers crafted a fake wallet address matching the first and last four characters of the victim’s real address, which appeared identical due to standard address truncation. The victim sent a 50 USDT test, then later copied the forged address from transaction history and sent 49,999,950 USDT. Within 30 minutes, the funds were converted to DAI, then ETH, and laundered via Tornado Cash. On-chain news highlights the growing threat of such scams. Security experts urge users to copy addresses directly from the 'Receive' tab and whitelist trusted addresses to avoid losses.
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