USDC Wallet Draining Scam Highlights Risks of Long-Term Phishing Approval Transactions

Key Points

1. The victim unknowingly signed a malicious ERC-20 token approval, likely through a phishing site or fake airdrop, leading to the loss of $908,551 in USDC stablecoins.

2. The attacker waited strategically for 458 days, monitoring the wallet until large deposits were made before draining the funds.

3. Crypto scams remain a significant threat, with over $142 million stolen in July 2024 alone, including high-profile incidents like the CoinDCX exchange exploit.

4. Security experts recommend using tools like Etherscan’s Token Approval Checker to review and revoke old approvals to minimize risks from dormant malicious permissions.

5. The incident underscores the importance of proactive security measures to protect crypto assets against evolving phishing and scam threats.