Phantom Wallet Users Targeted by Phishing Scam Amid Rising Popularity

Phantom Wallet, a popular platform on the Solana blockchain, is facing a wave of phishing scams as its user base grows. These scams are cleverly designed to steal users’ funds by exploiting the trust in regular software updates.

• Phishing scam targets Phantom Wallet users
• Phantom Wallet’s user base and revenue soar
• $150 million Series C funding secured
• Broad support for multiple currencies

Scammers are using fake “update extension” signature requests to deceive users into entering their seed phrases. A seed phrase is a list of words that acts as a master key to recover your crypto wallet. Once scammers gain access to these phrases, they can drain the funds from your wallet. The Web3 security platform Scam Sniffer issued a warning on February 6, 2025, about these fraudulent requests that are designed to compromise real Phantom wallets. They advise users to right-click on suspicious pop-ups—a function often blocked by malicious pages—and check URLs for the presence of “chrome-extension,” which authentic Phantom prompts contain.

Despite the security threats, Phantom Wallet’s popularity is soaring, largely driven by the craze over Solana-based memecoins. Memecoins are cryptocurrencies that often start as a joke or a meme but can gain significant value due to community support. Phantom Wallet has seen its daily revenue from fees reach $470,000, surpassing Coinbase Wallet. According to DefiLlama, Phantom’s daily revenue peaked at a staggering $3.6 million on January 19, 2025.

In 2024, Phantom Wallet recorded over 15 million monthly active users and processed more than 850 million transactions, showcasing its significant growth and market presence. The platform now supports 16 different currencies, making it a versatile choice for crypto enthusiasts.

On the funding front, Phantom secured a whopping $150 million in Series C funding on January 17, 2025, led by heavyweights Sequoia Capital and Paradigm. This round valued the company at $3 billion, a testament to its strong position in the crypto market. However, amidst the excitement, Phantom dismissed rumors of an upcoming token airdrop, cooling down any speculative frenzy.

Phantom Wallet’s association with Solana, a blockchain known for its high-performance and low-cost transactions, has been a key driver of its success. Solana’s vibrant ecosystem and the popularity of memecoins like Bonk (BONK) and Dogwifhat (WIF) have significantly boosted user engagement on Phantom.

Yet, as Phantom Wallet’s user numbers and transaction volumes surge, the platform remains a prime target for scammers. This situation underscores the ongoing security challenges within the crypto space, where the promise of decentralization and financial freedom is constantly tested by those seeking to exploit it.

Scam Sniffer issued a warning on February 6, 2025, about fraudulent ‘update extension’ signature requests designed to compromise real Phantom wallets.

Phantom wallet usage has surged due to the growing popularity of Solana-based memecoins.

The platform recorded $470,000 in daily revenue from fees, surpassing Coinbase Wallet, according to DefiLlama.

On January 17, 2025, Phantom secured $150 million in Series C funding led by Sequoia Capital and Paradigm, bringing its valuation to $3 billion.

Here are the key takeaways and answers to pressing questions:

• What is the phishing scam targeting Phantom Wallet users?

  Scammers use fake “update extension” signature requests to trick users into entering their seed phrases, allowing them to steal funds.

• What methods can users employ to identify phishing attempts?

  Users should right-click on suspicious pop-ups and check URLs for “chrome-extension” to verify legitimacy.

• Why has Phantom Wallet’s usage surged?

  The surge in usage is primarily due to the growing popularity of Solana-based memecoins.

• What are Phantom Wallet’s recent achievements and developments?

  Phantom Wallet surpassed 15 million monthly active users, processed over 850 million transactions in 2024, introduced support for 16 different currencies, and secured $150 million in Series C funding, valuing the company at $3 billion.

• Is there an upcoming token airdrop from Phantom Wallet?

  No, Phantom Wallet has dismissed rumors of a token airdrop related to its upcoming social discovery feature.

• What should Phantom Wallet users do to stay safe?

  Users should avoid signing suspicious requests and never share their seed phrases.

As Phantom Wallet continues to thrive, the rise in phishing scams serves as a sobering reminder of the risks in the crypto world. Users must remain vigilant, balancing the excitement of new opportunities with the reality of potential threats. Staying informed and cautious is not just smart—it’s essential for anyone navigating the thrilling yet treacherous waters of cryptocurrency.