Binance has developed an “antidote” to spoofing scams
Binance security experts have created an algorithm to prevent fraud associated with so-called “address poisoning,” where a user voluntarily transfers funds to scammers: Cointelegraph.
The scam involves sending the victim a small amount from an address that is similar to the one already in use in their wallet so that the transaction appears in history. Typically, hackers repeat the first and last few digits of an address, as they appear in most applications. The goal is for the user to simply copy the data the next time they operate without checking it completely.
The scam involves sending the victim a small amount from an address that is similar to the one already in use in their wallet so that the transaction appears in history. Typically, hackers repeat the first and last few digits of an address, as they appear in most applications. The goal is for the user to simply copy the data the next time they operate without checking it completely.
The Binance algorithm detects fake addresses by starting by detecting suspicious transfers, such as transactions with minimal value or low-value tokens.
The tool then matches these transactions with the addresses of potential victims, analyzing timestamps to determine the possible point of poisoning.
Fake addresses are entered into the database of HashDit, a company specializing in Web3 security. Cryptocurrency services like Trust Wallet use this company's API to warn users if they are about to transfer funds to a fake address.
The tool then matches these transactions with the addresses of potential victims, analyzing timestamps to determine the possible point of poisoning.
Fake addresses are entered into the database of HashDit, a company specializing in Web3 security. Cryptocurrency services like Trust Wallet use this company's API to warn users if they are about to transfer funds to a fake address.
According to Binance, the algorithm has already helped identify 13.4 million cases of wallet infection on BNB Smart Chain and 1.68 million on Ethereum.
Exchange specialists began developing the tool after about two weeks ago, a victim of “address poisoning” lost 1,155 “wrapped” bitcoins worth approximately $68 million. A few days later, the hacker returned almost all the funds to the victim.
If you do become a victim of fraud, then we advise you to read our article: How to return stolen funds and, of course, you should seek help from professionals.
We also remind you that you can check your crypto wallet for purity, perform AML address verification, track a transaction - this and more you can do in our Btrace solution. Free AML wallet verification for every new user.
We also remind you that you can check your crypto wallet for purity, perform AML address verification, track a transaction - this and more you can do in our Btrace solution. Free AML wallet verification for every new user.
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