Ethereum User Loses $1M in Phishing Scam as BitMine Nears 5% Ownership

A cryptocurrency user lost nearly $1 million after falling victim to an Ethereum phishing scam. On Wednesday, the attacker sent a malicious token approval request that was approved by the victim, allowing them to drain almost the entire wallet balance. Blockchain security platform Scam Sniffer reported the loss of 999,999 Tether (USDT) tokens.

The attackers initially attempted to transfer $1 million but failed due to a slight discrepancy in the available balance. However, they recalculated and successfully withdrew every remaining token.

Security researchers warn that approval phishing is one of the most common social engineering threats in crypto. Attackers often trick users into approving malicious token permissions, which grant unlimited spending powers.

Meanwhile, Ethereum treasury company BitMine disclosed that it now controls more than 5.74 million ETH, placing it close to its stated goal of owning 5% of Ethereum's total token supply.