Over $1.6M Lost in Address Poisoning Scams

• Lyla Velez
• August 15, 2025
• News
• 0 Comments

The significant loss to address poisoning scams highlights the ongoing vulnerability of Ethereum holders, impacting individual security without affecting systemic market stability.

Address Poisoning Scams Impacting Ethereum Users

Over $1.6 million was reported lost due to address poisoning scams within a week, affecting Ethereum users. These scams exploit human error by using addresses visually identical to legitimate wallets, resulting in significant individual losses. Markus Peters, Security Researcher at CryptoSecure, said, “Address poisoning scams exploit the human tendency to trust transaction histories, resulting in devastating losses for individual users.”

Anonymous actors carry out these scams by sending small transactions from lookalike addresses to their targets. One reported case involved a victim losing 140 ETH, but no statements from major industry leaders have been issued.

Wider Implications of Address Poisoning

The scam primarily affects individual Ethereum holders, without impacting on-chain total value locked or decentralized finance protocols’ liquidity. Ethereum remains the most affected, with no institutional losses reported.

Address poisoning has been a recurring issue since 2023, with significant incidents noted, including a “ZeroTransfer Address Pollution” event causing over $2.5 million in losses previously. Wallet providers remind users to verify addresses manually.

Potential outcomes include increased security awareness among Ethereum users and advocacy for user interface improvements. Historical data suggests such threats usually target user-level transactions, necessitating vigilant review of wallet operations.