NFT Game Founder Loses $1 Million To Scammers, Here’s How

By Mansi Singh
Published August 2, 2021 Updated August 2, 2021
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NFT Game Founder Loses $1 Million To Scammers, Here’s How

By Mansi Singh
Published August 2, 2021 Updated August 2, 2021
  • An NFT project founder lost 16 CryptoPunks and some ETH in a phishing attack last night
  • The total value of stolen assets is estimated to be over $1 Million
  • Experts warn people to stay safe from fraudulent websites and projects 

 A sudden increase in popularity has shot up the average price of CryptoPunks NFT by 53% in merely one week. Its price skyrocketed from $87,000 (34 ETH) on July 24 to a massive $135,000 (52 ETH) yesterday. 

This furious enthusiasm in the NFT space triggered the hunger of scammers. And reportedly, an NFT videogame founder has already fallen victim to a bot scam over the CryptoPunks Discord channel.

NFT Game Founder Stazie Scammed: What Exactly Happened?

Scammers managed to swindle out 16 CryptoPunk NFTs including some ETH (CRYPTO: ETH) from Hedgie founder and developer Stazie (pseudonym) on August 1. The total worth of stolen assets is estimated to be over USD 1 million. 

Stazie revealed the fraud through his thread of tweets yesterday. He explained how situations were utterly normal for him before the robbery was conducted and how they severely changed after the theft. He clearly wasn’t able to comprehend the incident and wrote, “The whole thing happened like an awful dream.” 

A scammer named “cryptopunksbot” posted an offering on the CryptoPunk’s Discord server highlighting an opportunity to win ten super unique NFT avatars as the project is celebrating its fourth anniversary. 

In a desire to win the unique avatars Stazie logged onto a fake website and entered his twelve-word seed phrase after receiving a false notification about the compromised security of his Metamask wallet. Within seconds of sending the phrase, the scammer emptied Stazie’s wallet.

The Hedgie founder has been in the crypto space since 2017 but still has fallen prey to a huge scam. Although he finds it embarrassing, it’s a warning for the world to stay secure and not get caught up in fraud.

 

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The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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