- The most significant loss ever incurred by one person was $661,000 in stETH
- The attacks included a $344,000 loss in FET on Ethereum's Uniswap platform and a $409,000 loss in WBTC on the Arbitrum network
- The loses represent a 53% decrease from October, when the crypto industry reported losses as high as $20.2 million.
In November 2024, 9,200 crypto users lost $9.3 million in various crypto scams, including fraud and phishing. This is according to data released by ScamSniffer, a blockchain analytics platform.
ScamSniffer said the lost funds were in various cryptocurrencies, including WBTC. In a post on X, the analytics platform revealed that the most significant loss ever incurred by one person was $661,000 in stETH, a utility token called StETH. StETH is crypto token that represents an equivalent amount of Ethereum (ETH) that has been deposited to support blockchain operations.
Additional attacks included a $344,000 loss in FET on Ethereum's Uniswap platform and a $409,000 loss in WBTC on the Arbitrum network. Additionally, there was a $220,000 USDT loss on Ethereum through a direct transfer.
“November saw one victim lose $661K in stETH within minutes—and that's just the tip of the iceberg,” it said in an introductory post. “BIGGEST HITS: $661K stETH (ETH) - Permit; $409K WBTC (ARB) - Permit; $344K FET (ETH) - Uniswap Permit2; $220K USDT (ETH) - Direct Transfer. Pattern? Malicious signatures remain the deadliest weapon.”
Based on their investigation, some analysts came to the conclusion that the breach occurred because a malicious signature request was damaged. They still consider this kind of attack to be "the deadliest weapon."
The current amount represents a 53% decrease from October when the crypto industry reported losses as high as $20.2 million.
However, the number of impacted users is still relatively high, which is concerning because investors require greater assurance that their assets are secure. The cryptocurrency losses reached $46 million in September. According to ScamSniffer, there is a changing pattern among these criminals.
Cybercriminals create new strategies for their operations while law enforcement and blockchain security companies devise ways to apprehend them. According to ScamSniffer, phoney accounts on X rank highest among phishing sources. Next to this are suspicious Google advertisements that lead people to fraudulent websites.
How to avoid crypto scams
ScamSniffer says the best way to protect accounts against scammers is to “never rush to sign transactions. Verify ALL signature requests. Use the ScamSniffer extension. Use Anti-Scam Enhanced Wallets.”
TheRadar reported that scams have become an everyday occurrence in the world of crypto. From fake projects to impersonators and hackers, unsuspecting members of the public lose their funds. This TheRadar article explains five essential things to look out for to avoid crypto scams.
SEC chair announces resignation, XRP reacts
Meanwhile, TheRadar earlier reported the chair of the United States Securities and Exchange Commission (SEC), Gary Gensler, has announced his resignation effective January 20, 2025.
In a press statement dated November 21, 2024, and published on the SEC website, which Gensler shared on his X account, the SEC chair described the commission as a mission-driven commission focused on protecting investors.
“On January 20, 2025, I will be stepping down as SEC Chair,” he posted. “The SEC is a remarkable agency. The staff & the Commission are deeply mission-driven, focused on protecting investors, facilitating capital formation, and ensuring that the markets work for investors & issuers alike. The staff comprises true public servants.”
