- 1 According to Web3 anti-scam platform, Scam Sniffer, Inferno Drainer exploited over 103K users and drained more than $70 Million in crypto assets.
- 2 The wallet drainer was active since February this year and “won’t return again.”
Digital attacks and hacks within the cryptocurrency industry have only increased as the market has grown in size of user base and valuation. Tracking of funds is already tricky after the mishap and then mixer protocols and crypto wallet drainers-like services make it tougher to get through.
One such wallet drainer which gained quite popularity in the past months and helped steal $70 Million, Inferno Drainer, announced a wrap-up.
The announcement came over the Telegram post on November 26, 2023, where Inferno Drainer noted shutting down its services. It confirmed the “end of the craziest journey.” Though the post underscored that the time for the protocol to “move on” has come, the wallet drainer would still facilitate the files and infrastructure. It will not deactivate them along with the other services to ensure a smooth transition of users to other services.
The crypto wallet Drainer noted, “It has been a long ride with all of you and we’d like to thank you from the heart. Unfortunately, nothing lasts forever. After $80M+ drained, we decided to shut down, it’s time for us to move on.”
The cryptocurrency market is in its infancy and the security measures around the industry are still in the making. Often the users report their assets getting stolen or digital attacks on decentralized finance (DeFi) protocols.
Hackers would not have gotten away with the stolen assets if crypto wallet drainer software providers like Inferno Drainer were not there to assist.
Inferno Drainer Assisted to Carry Out Over $70M Thefts
The crypto wallet drainer had been active since the previous infamous service provider, Monkey Drainer, announced shutdown earlier this year. According to Web3 anti-scam platform, Scam Sniffer, Inferno Drainer exploited over 103K users and drained more than $70 Million in crypto assets.
As per blockchain security analysts, such wallet drainers use to charge 20 to 30% of the stolen amount from the hackers in exchange for providing services like wallet-draining scripts. In this way, Inferno Drainer is estimated to garner nearly $20 Million after charging fees for the services it offers.
In a recent turn of events, rumors circulated earlier this week suggesting a potential link between one of the founders of the Blast protocol and the notorious Inferno Drainer. Loch, a blockchain portfolio analytics firm, conducted a thorough examination of on-chain data, ultimately dispelling the speculation.
According to Loch’s findings, the addresses associated with the Blast founder and the Inferno Drainer were not interconnected.
While notable drainer services have ceased operations, such as the Blast protocol, others persist in the crypto space. Operators like Pink Drainer and Angel Drainer, functioning as scam-as-a-service entities, remain active and have collectively facilitated the draining of over $12 Million in cryptocurrency.
Amidst the evolving landscape of cryptocurrency platforms, concerns about potential hacking threats loom large. The persistence of scam-as-a-service operations underscores the ongoing challenges faced by the budding cryptocurrency market, emphasizing the importance of robust security measures to protect users and their assets.
Amanda Shinoy is one of the few women in the space invested knee-deep in crypto. An advocate for increasing the presence of women in crypto, she is known for her accurate technical analysis and price prediction of cryptocurrencies. Readers are often waiting for her opinion about the next rally. She is a finance expert with an MBA in finance. Quitting a corporate job at a leading financial institution, she now engages herself full-time into financial education for the general public.