A newly discovered scam called “Sleepdrop” has sent shockwaves through the crypto community. Forta Network, a leading Web3 security solution, issued a warning about this insidious fraud that targets unsuspecting users with unexpected tokens from seemingly legitimate contracts. As scammers mimic well-known ERC-20 tokens, including Uniswap, Chainlink, Lido, and Circle, traders are falling victim to their deceptive tactics.
The Sleepdrop scam unfolds with scammers airdropping fraudulent tokens to numerous individuals, creating the illusion that they originate from authentic contracts. To further deceive users, scammers employ a technique reminiscent of “sleepminting” used in NFTs. When users connect their wallets to the scam website, they unwittingly sign a transaction that appears to link them to a decentralized application (Dapp). However, this transaction invokes the connect function of the contract, resulting in the transfer of a small amount of ETH from the users’ wallets.
The danger intensifies as scammers launch an ice phishing attack to trick victims into exchanging the fraudulent tokens for legitimate ones. Unbeknownst to users, the smart contract seizes the opportunity to steal ETH from their wallets, causing potential financial loss and distress.
Recognizing the severity of this threat, the Forta community has taken proactive measures. They have compiled a comprehensive list of Sleepdropper addresses and scam URLs that pose a risk to users. Furthermore, the Forta Foundation announced a bounty program aimed at detecting Sleepdropping. The foundation will cover the initial Bot deployment costs, including staking, and reward participants with the FORT token.
Ivan Spanier, a prominent member of the Forta Foundation, shed light on the risks associated with Sleepdrop. He described the scam as “uniquely insidious,” emphasizing that interacting with Sleepdrop contracts inevitably leads to the draining of native tokens. Spanier urged users to exercise extreme caution, advising them not to interact with any airdropped tokens, even if they seemingly originate from official teams.
The Sleepdrop scam is just one among many tactics employed by malicious actors to exploit the crypto space. However, despite the emergence of new threats, it is important to note that illicit activity in the cryptocurrency sector represents less than 1% of total transaction volume, as revealed by the 2023 Chainalysis Crypto Crime Report. While the Sleepdrop scam highlights the need for enhanced security measures, it also demonstrates the industry’s commitment to combatting such fraudulent activities.
The crypto community remains vigilant, it is crucial for traders to stay informed about potential scams, exercise caution while interacting with unfamiliar contracts, and rely on trusted platforms and official sources for information. Forta’s efforts to detect and combat Sleepdropping serve as a testament to the industry’s determination to safeguard the integrity and trustworthiness of the cryptocurrency ecosystem.
