Solana marketing ploy leads to proliferation of scams – Blockworks
Promise of a token airdrop to reward heavy users of Ethereum if they try Solana, becomes fertile ground for fraud
INelson/Shutterstock modified by Blockworks
share
Solana advocates like to drive home the merits of relatively cheap transaction fees on the blockchain, especially in relation to gas paid in ether, on Ethereum mainnet.
A new marketing campaign tokenizes that narrative in the form of LFG, or LessFnGas, which launched on New Year’s Day.
The project targets Ethereum users who have spent at least 2 ether (ETH) in gas fees, offering them LFG tokens through an airdrop. Holders of eligible wallets can specify a Solana address to receive the newly created token.
As of 9 am ET, the project said on X that more than 45,000 wallets had claimed the LFG token.
But while the airdrop itself was promoted by Solana co-founder Anatoly Yakovenko, scammers quickly sprung into action, setting up fake versions of the legitimate domain and seeking to phish unsuspecting claimants, often via replies in related threads on X.
Read more: The 5 biggest DeFi hacks of 2023
Bill Lou, co-founder of Nest wallet, reported linking to a Medium post which led him to inadvertently sign a transaction that drained 52 stETH (approximately $125,000).
Each post on X from the official account has scam account replies seeking to take advantage of inattentive airdrop hunters.
LFG, which currently has no utility, was trading at around $0.00007 as of 12 pm ET, making a successful claim worth around $30.
While overtly pitched as a way to onboard some Ethereum users, the dismissive tone of the campaign has alienated others.
“We understand that ETH has led the way for many years,” LessFnGas wrote. “The fact of the matter is, the tech is outdated and for things to move forward, something must be left behind.”
Read more: The 3 biggest DeFi innovations of 2023
The team of 10, which is not disclosed, has reserved for itself 10% of the 1 trillion tokens created (currently worth about $7 million), and promises a second airdrop for those claimants who supply liquidity for the token on decentralized exchanges.
Don’t miss the next big story – join our free daily newsletter.
Newsletter
Blockworks Daily
Upcoming Events
Digital Asset Summit 2024
Mon – Wed, March 18 – 20, 2024
Crypto’s premier institutional conference returns to London in March 2024. The DAS: London Experience: Attend expert-led panel discussions and fireside chats Hear the latest developments regarding the crypto and digital asset regulatory environment directly from policymakers and experts.
Permissionless III
WED – FRI, OCTOBER 9 – 11, 2024
Pack your bags, anon — we’re heading west! Join us in the beautiful Salt Lake City for the third installment of Permissionless. Come for the alpha, stay for the fresh air. Permissionless III promises unforgettable panels, killer networking opportunities, and mountains […]
recent research
Research
2021 was a massive year for network activity, so naturally protocol innovation and growth followed suit. Perps found true PMF, DEXs continued to launch new primitives, and stablecoins continued to excel.
by Research Team
/
Breaking headlines across our core coverage categories.
Markets
Bitcoin is in the green today after a price jump above $45,000.
Markets
2023 was a solid year for cryptos, here are the top charts and data points for the market
DeFi
As Ethereum heads for the Dencun hard fork in Q1 2024, here are some of the eagerly anticipated EIPs coming up
DeFi
As technology improves, we take a look at some of the achievements made in DeFi innovation this year
Markets
As 2023 comes to a close, here is a round up of the top narratives that moved markets this year
Op-Ed
The next big trend in Web3 after loyalty may very well be a more efficient and engaging form of advertising
newsletter
Blockworks Daily Newsletter
Get the daily newsletter that helps thousands of investors understand the markets.
blockworks research
Unlock crypto's most powerful research platform.
Our research packs a punch and gives you actionable takeaways for each topic.
Blockworks Inc.
133 W 19th St., New York, NY 10011