$1.2 million lost in new Bitcoin scam alert
Jameson Lopp, chief security officer at Bitcoin (CRYPTO:BTC) custody firm Casa, has issued a warning about the rising threat of Bitcoin address poisoning attacks.
This social engineering scam tricks users into sending funds to fraudulent addresses that closely resemble legitimate ones from their transaction history.
In a February 6 article, Lopp detailed how attackers generate fake Bitcoin addresses that mimic the first and last characters of a victim’s genuine addresses.
These fake addresses are then inserted into the victim’s transaction history through small transactions, making them appear trustworthy.
If users fail to verify the full address carefully, they risk sending funds to the attacker.
Lopp’s analysis of blockchain data revealed nearly 48,000 suspected address poisoning transactions between July 2023 and January 2025.
The attacks resumed in March 2025 after a brief pause, with over $1.2 million stolen in that month alone, according to cybersecurity firm Cyvers.
Address poisoning relies heavily on human error, as users often copy-paste addresses without double-checking them.
“The mechanics are simple yet effective,” Lopp noted, emphasising the importance of vigilance when conducting cryptocurrency transactions.
The broader impact of these scams is significant.
Blockchain security firm PeckShield reported that crypto hacks in Q1 2025 resulted in over $1.6 billion in losses, with address poisoning contributing to this total.
High-profile incidents like the Bybit hack in February, which accounted for $1.4 billion in losses, highlight the evolving sophistication of cybercriminals.
Lopp called for improved wallet interfaces that display full addresses to help users avoid falling victim to such scams.
He also urged Bitcoin holders to thoroughly review destination addresses before sending funds.
At the time of reporting, the Bitcoin (BTC) price was $77,573.25.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
New spot margin trading pair — HOLO/USDT!
FUN drops by 32.34% within 24 hours as it faces a steep short-term downturn
- FUN plunged 32.34% in 24 hours to $0.008938, marking a 541.8% monthly loss amid prolonged bearish trends. - Technical breakdowns, elevated selling pressure, and forced liquidations highlight deteriorating market sentiment and risk-off behavior. - Analysts identify key support below $0.0080 as critical, with bearish momentum confirmed by RSI (<30) and MACD indicators. - A trend-following backtest strategy proposes short positions based on technical signals to capitalize on extended downward trajectories.

OPEN has dropped by 189.51% within 24 hours during a significant market pullback
- OPEN's price plummeted 189.51% in 24 hours to $0.8907, marking its largest intraday decline in history. - The token fell 3793.63% over 7 days, matching identical monthly and yearly declines, signaling severe bearish momentum. - Technical analysts cite broken support levels and lack of bullish catalysts as key drivers of the sustained sell-off. - Absence of stabilizing volume or reversal patterns leaves the market vulnerable to further downward pressure.

New spot margin trading pair — LINEA/USDT!
Trending news
MoreCrypto prices
More








