A trader lost over £ 90,000 in cryptocurrency when hackers broke into his accounts after making a single mistake online.
The Reddit user shared his horror story while begging tech-savvy people to help him find a way to reclaim his fortune.
Although he insisted that he had taken the necessary precautions to protect his crypto stash and considered himself “fairly knowledgeable” about digital currency, the frustrated user said he was wiped out. .
This is a warning about what can go wrong when investing in the highly volatile and unregulated crypto market.
The Redditor explained that he protected his investments using a Ledger Nano S hardware wallet and four different Metamask “hot wallets”.
He said he wanted to check his balance before ringing for New Years and that “everything seemed normal” – but found all of his accounts were wiped out after taking another look a few more hours. late.
And he revealed the “frightening” fatal error that led to his downfall in an attempt to prevent other crypto enthusiast traders from suffering the same fate.
The message read: “My only possible conclusion is that I clicked on a malicious link while surfing the Internet.
“The Trojan must have taken control of my Google Chrome browser (or the Metamask extension) while I was using it, while my ledger was unlocked.
“Check transactions at the time they were sent around the time I opened it,” he continued.
“Again, I was never made to accept or approve of anything that I didn’t do myself. It’s scary.”
Online Trojans are often disguised as harmless links or pop-ups that appear when users search the web.
Hackers often use phishing techniques to trick people into sending victims to a manipulated page where they are supposed to enter their credentials.
But the Reddit user claims the virus somehow infiltrated his browser when his accounts were already unlocked, before wiping out his crypto wallet he had “built for years.”
He continued, “Looking at all of my wallets today I see zero balances and I’m absolutely crushed. It took all of my power to even get out of bed and file reports and write this post today. “
However, after checking the transaction history, he was able to find a digital trace of his stray funds, which he said appear to have been erased “within minutes.”
He shared the hacker’s Ethereum address while revealing some of his crypto that had been stolen, including Ethereum, Polygon, Avalance, and Aave.
He added: “My opening sentence is on paper, stored in a safe, to which no one has access.
5 risks of crypto investments
The Financial Conduct Authority (FCA) has warned people about the risks of investing in cryptocurrencies.
- Consumer protection: Certain investments announcing high returns based on crypto assets may not be subject to regulation beyond anti-money laundering requirements.
- Price volatility: The high volatility of crypto-asset prices, combined with the difficulties inherent in a reliable valuation of crypto-assets, puts consumers at high risk of loss.
- Product complexity: The complexity of some crypto-asset related products and services can make it difficult for consumers to understand the risks. There is no guarantee that cryptoassets can be converted back to cash. The conversion of a crypto-asset into cash depends on the existing demand and supply in the market.
- Costs and fees: Consumers should consider the impact of fees and charges on their investment, which may be higher than those of regulated investment products.
- Promotional material: Companies may overestimate product returns or underestimate the risks involved.
“My opening sentence was never written anywhere else, no computer, no phone, except on this paper in the safe.
“Besides accidentally clicking on a malicious link on the internet somewhere, I’m still completely lost on what I could have done better.
“Perhaps one possible solution was to have the hardware wallet on a computer that I have never touched – a computer that I have never used the Internet for, but this is all in retrospect.”
He later revealed that he had since hired a forensic expert to scan his computer to help him track the digital thief.
Some Redditors offered their sympathies and assistance to the crushed crypto trader and even tried to help track down the hacker.
Many also shared their experience stories of a similar hack, while others suggested having separate devices to handle crypto was the only way to stay safe while searching the web.
One user wrote: “I have 7 emails with multiple passwords, the name linked to this reddit and my social media emails and random websites are fake.
“Also have two laptops and three cell phones, one for porn, one for my everyday phone, and one strictly for crypto.”
Others questioned his alleged security measures and urged others to take all necessary precautions to protect their funds.
Buying any cryptocurrency is incredibly risky.
With any investment, there is a risk that the value of your money will go down as well as up. This means that you should only invest the money that you can afford to lose.
Cryptos can be riskier than other investments because they are volatile and speculative – their price often goes up and down very quickly, sometimes seemingly for no reason.
Many cryptocurrencies have a short history, which makes them difficult to understand and predict.
This type of investment is also not protected by the regulator, which means that you have no protection if something goes wrong.
The British regulator has warned that the British risk losing ALL of their money if they invest in cryptocurrencies.
If you are considering investing in any type of crypto, do your research first and invest only the money you can afford to lose.
Also beware of scams, as the crypto market is often a target for fraud.
Look for fake celebrity mentions or social media profiles pushing certain pieces.