Crypto: Phantom Chat Under Scrutiny After $264k Address Poisoning Loss
Phantom Chat is under scrutiny after a phishing attack drained $264,000 in Wrapped Bitcoin, renewing concerns over wallet UX and address poisoning scams.
A built-in messaging feature in the Phantom crypto wallet is drawing scrutiny from security researchers after an investor lost about $264,000 worth of Wrapped Bitcoin in what investigators described as a phishing attack enabled by address poisoning.
Blockchain investigator ZachXBT shared blockchain data pointing to a victim losing 3.5 Wrapped Bitcoin (wBTC) in a suspected phishing attack tied to Phantom Chat.
The data shows a transaction where 3.5 WBTC was transferred from address 0x85c to address 0x4b7 on Wednesday, flagged as a “high balance” address on blockchain intelligence platform Nansen. The transaction pattern is consistent with address poisoning, a phishing technique that exploits users’ transaction histories rather than compromising private keys.
Scammers trick victims into sending crypto to illicit wallets by first sending them small transactions and hoping unsuspecting users copy and paste the attacker’s address from their history.
ZachXBT urged Phantom to upgrade its user interface, calling the messenger feature a “new method for people to get drained,“ and warning that the app’s user interface did not filter out spam transactions to avoid users falling victim to address poisoning scams.
X user Kill4h also reported falling victim to two address poisoning attacks through the messenger feature, sharing a screenshot of two blockchain transactions worth $136 and $101 in USDC (USDC), respectively.
Related: Fake MetaMask 2FA security checks lure users into sharing recovery phrases
The incidents are the latest reminders of the importance of crypto wallet user experience for the safety of investors.
Leading crypto industry figures, including Binance co-founder Changpeng Zhao, have previously called for better wallet security measures to avoid phishing scams, after an investor lost $50 million in an address poisoning scam in December 2025.
Source: CoinTelegraph
