• Hacked vanity addresses were used to loot $500K worth of tokens during the Arbitrum airdrop.
• Someone had compiled a list of vanity addresses and generated similar ones to steal the tokens.
• 428 million ARB tokens still need to be claimed, with an approximate value of $596 million.
Arbitrum Airdrop Controversy
The layer-2 scaling solution Arbitrum was scheduled for an airdrop on March 23rd, however, it was disrupted by hackers using hacked vanity addresses to loot around $500K worth of tokens.
Hackers Compile List of Vanity Addresses
An individual compiled a list of eligible vanity addresses for the ARB token airdrop and then managed to generate similar addresses using vanity address generators. He redirected the tokens to these newly created addresses instead, leaving the original owners unable to claim them anymore.
Impacted Crypto Users React
Many cryptocurrency users have taken to Twitter expressing their dismay as they lost their ARB tokens due to this theft. They are seeking help from KuCoinCom exchange as many of these stolen tokens have been transferred there by the hacker.
Still Unclaimed Tokens
According to blockchain analytics tool Nansen reports, there are a total of 428 million ARB tokens that still need to be claimed out of 1.1 billion allotted for Arbitrum’s airdrop. This unclaimed amount is estimated at $596 million in value as of now.
This is not the first time fraudsters have used hacked vanity addresses in cryptocurrencies and it is important for crypto users remain aware and knowledgeable about such malicious activities in order protect themselves against hacking attacks and thefts like these in future.