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Monday, January 20, 2025
Narcissus stared at his reflection until it destroyed him. The Idols NFT protocol learned a similar lesson about self-reflection.
Digital mirrors proved just as dangerous as mythological pools when an attacker exploited The Idols' reward system through a simple yet effective manipulation.
By making transactions talk to themselves, they drained 97 stETH ($324k) from the protocol.
The vulnerability lurked in plain sight – transactions where sender and receiver were identical created an echo chamber of infinite rewards.
Like the nymph Echo calling out to Narcissus, each mirrored transaction multiplied the damage.
The Idols team spotted the exploit within two hours, but the ripples had already spread through their stETH reserves.
In the end, perhaps it's fitting that a project called "The Idols" fell prey to self-reflection.
When smart contracts fall in love with their own reflection, who's left to tend the pool?
Read more »
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Research of the Week
Airdrop Honeytraps: How Free Tokens Could Cost You Everything
In DeFi, few things grab attention faster than the promise of a free airdrop. But here’s the harsh truth: free isn’t always free. Those shiny tokens dropping into your wallet? They might as well be ticking time bombs. Scammers have turned airdrops into honeytraps, designed to lure you in and strip your wallet clean.Here’s how it works. You wake up to find an unfamiliar token sitting in your wallet, its value looking too good to ignore. Curiosity kicks in, and you start digging. Maybe you try to sell it, or you click a link to “claim more.” That’s the bait. The second you interact with the token or the phishing site, the trap springs shut. Malicious contracts execute, granting scammers access to your funds or leaking your private data.The genius of the scam lies in its simplicity. Airdrops are designed to catch your attention and exploit your instincts. Who doesn’t want free money? In DeFi, one hard truth remains: if it looks like easy money, it’s probably a trap.Protecting yourself starts with one golden rule: don’t interact with tokens you don’t recognize. If an airdrop looks sketchy, leave it alone. Don’t try to transfer, sell, or approve anything without verifying its source. Tools like Etherscan or BscScan let you track token origins, helping you spot bad actors before they touch your wallet.Another critical step? Harden your wallet setup. Use a burner wallet for exploring unknown protocols or connecting to sketchy dApps. Keep your main wallet isolated from experimental interactions, and always double-check contract permissions. Tools like Revoke.cash let you review and revoke permissions before they turn into exploits.Scammers also love fake claim sites. If a “free” airdrop directs you to a website asking for your wallet connection, stop right there. Verify URLs through official project channels or avoid the interaction entirely. Phishing sites are designed to look legitimate, but one wrong click can hand over the keys to your castle.Airdrops are a double-edged sword. They can be a legitimate way to reward users, but they’re also a scammer’s dream. Your best defense? Paranoia and patience. Question everything, trust nothing, and when in doubt, do nothing. Because in DeFi, the most expensive thing you can do is chase free money. Memes and Videos How A Printer Lost A Country $81,000,000A printer glitch at Bangladesh Bank was the first domino in an $81 million heist orchestrated by North Korea’s infamous Lazarus group. Exploiting outdated systems, clever malware, and time zone differences, the hackers turned a mundane malfunction into a global spectacle. What followed was a whirlwind of stolen funds, casino laundering, and one of the boldest cybercrimes in history.
Source: Cipher Source: AltcoinGordon
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