Ethereum Denver has fallen victim to the latest hacker plot to defraud unsuspecting customers via a fake website created by web3 linked to a phishing wallet.
The hack has already siphoned over $300,000 worth of Ether from Ethereum Denver conference clients.
Hackers scam more than $300,000
Hackers have advanced new modes of theft by creating a duplicate website similar to the famous Ethereum Denver conference that tricks users into connecting their MetaMask wallets to a diversion wallet.
Information from scam detectors Blockfence, a company dedicated to protecting web3 users, indicates that the smart contract has so far infiltrated more than 2,800 wallets, defrauding more than $300,000 without warning in the last six months.
Following the Blockfence announcement, ETHDenver posted a notice on Twitter warning its customers against the malicious website.
In a sentence released Blockfence CEO Omri Lahav told Cointelegraph news agency that the malicious website prompted users to use the “connect wallet” button to connect their MetaMask wallets. Once there is prompt approval, the website steals funds from users.
A highly orchestrated scam unraveled
The Blockfence team found out about the fact when they were tracking other trends in the industry. “The smart contract scam has been going on for over 6 months stealing over 177 ETH,” Lahav said. He also added that the time it has taken to operate the smart contract could have been used on other websites.
Trusting in the constancy of google adshackers paid for promoting malevolent website URL
Hackers paid for a Google ad to promote the fake website URL, and ETHDenver took place on February 24-25. The fake website appeared second in a Google SERP, above the ETHDenver website.
The threat of piracy persists
Crypto.news has been reporting on several attacks in the cryptocurrency industry in recent years. Last year alone resulted in a loss of more than $2.8 billion through hacks and exploits.
A confidential report released by the UN in 2022 showed that North Korean hackers reached a new record for stolen money. Estimated digital assets worth more than $630 million have found their way into the hands of North Korean hackers in the past year.
The start of 2023 has also seen millions lost to hacks. The Ethereum Denver hack enters the list of highly organized attacks experienced in the crypto industry.
