The cryptocurrency market has been witnessing scams and hacks regularly for the last few months. Recently, Acala Network was hacked which cost it billions of dollars. Now a new scam is spreading in the market which exploits the individual wallets of crypto users. A web3 extension malware is being used to scam people and loot their crypto holdings. This scam is uncovered by a Twitter account that goes by the name wallet_guard.
How does this Scam work?
This scam is executed through malware that hides in chrome extensions. Once a user installs an infected chrome browser extension or plugin, it activates automatically and modifies your wallet address when you send a deposit or withdrawal request. It uses the content script to change the website you visit. It is so dangerous that you cannot escape theft even if you double or triple-check your wallet address.
The extension that has been reportedly infected by the scammers is ‘Google Sheets’. It is a commonly used Chrome extension which has put many crypto holders at risk who use web exchanges. The hackers are transferring the crypto to a single wallet and then moving it to several bank accounts.
The magnitude of this threat can be understood by the fact that the users of the top 5 cryptocurrency exchanges have also suffered. So far, the users of Coinbase, Binance, KuCoin, and Gate.io have suffered from this malware when using Chrome.
How to Avoid Crypto Scams?
The best way to avoid this type of scam is by not installing apps and extensions from unknown sources. If you are already using some extensions then you can go to ‘manage extensions’ and check details to verify the source. It is really important for existing Chrome and exchange users because the extension can prove dangerous if they are installed from unknown and unreliable sources.