Michaela
A crypto user lost nearly $50 million in USDt in a classic address poisoning scam after copying a scam address from their transaction history, resulting in one of the largest on-chain losses this year.
According to blockchain security firm Web3 Antivirus, the user initially sent a small test transaction to the intended address, but minutes later mistakenly transferred 49,999,950 USDt to a poisoned address copied from their transaction history.
An address poisoning scam is a type of cryptocurrency fraud where a malicious actor plants a look-alike wallet address in a user’s transaction history. These fake addresses closely resemble the intended recipient’s address, often differing by just a few characters. This type of scam exploits the user’s reliance on copy-and-paste behavior rather than targeting technical vulnerabilities, making it particularly effective even against experienced crypto users.
The victim’s wallet, active for approximately two years and mainly used for USDt transactions, had its funds withdrawn from Binance shortly before the poisoned transfer occurred.
Related: Bitget Doesn’t Sleep: The New $500M Shift to On-Chain Stocks
Cryptocurrency-related hacks have surged in 2025, resulting in billions of dollars in losses. In response, Senators Elissa Slotkin and Jerry Moran introduced the bipartisan SAFE Crypto Act, proposing a federal task force to strengthen enforcement, improve interagency coordination, and address the growing wave of crypto fraud.
The SAFE Crypto Act, officially titled the Strengthening Agency Frameworks for Enforcement of Cryptocurrency Act, seeks to establish a federal task force dedicated to identifying, monitoring, and preventing cryptocurrency-related scams. The legislation also aims to enhance coordination between government agencies, law enforcement, and private-sector specialists, targeting growing investment fraud losses that disproportionately impact older investors.
Related: Crypto Fans React as Senator Lummis Says She Won’t Seek Reelection
The legislation also invites participation from digital asset service providers, stablecoin issuers, custodians, blockchain intelligence firms, consumer protection groups, and victims’ advocacy organizations. Tasked with analyzing trends across a broad spectrum of crypto fraud, the task force would focus on Ponzi schemes, rug pulls, fraudulent token offerings, money laundering, and financial grooming scams.
An address poisoning attack spotlights the need for vigilance when copying wallet addresses. Security specialists recommend always verifying addresses through multiple sources, using hardware wallets for large transfers, and employing on-chain monitoring tools to detect suspicious activity before sending significant funds.
MICHAELA
Michaela is a news writer focused on cryptocurrency and blockchain topics. She prioritizes rigorous research and accuracy to uncover interesting angles and ensure engaging reporting. A lifelong book lover, she applies her passion for reading to deeply explore the constantly evolving crypto world.
