Phantom Announces Burn NFT Feature to Prevent Fraud!
NFT fraud, which has lately grown, remains a big issue. As the market grows, so does the number of malicious people. In this context, the Phantom wallet program was working on a feature. Phantom has added a new Burn NFT option, which allows users to delete unwanted NFTs sent by scammers.
Phantom, Burn NFT Feature!
Phantom, a wallet service based in Solana, has launched a new function that allows users to destroy non-spam NFTs supplied by scammers. The Phantom team introduced the feature on Thursday with a blog post. According to the statement, this option will be accessible via the Phantom wallet app's Burn Token page. It will also ensure that consumers receive a tiny Solana (SOL) deposit with each use.
Phantom noted that the problem is particularly prevalent on Solana due to low transaction fees, with malicious people frequently airdropping large numbers of supposedly free NFTs containing malicious links. Spam NFT usually tells the recipient to click on a link to generate a free NFT. However, after the transaction is finished, the funds are withdrawn from the wallets. Alternatively, the link asks the recipient to enter the seed phrase, leading to the same result. These types of frauds are getting more and more sophisticated. For example, a contract address and domain can be identified as malicious. It is then possible for scammers to change an NFT's metadata to avoid being blocked.
Collaborating to Prevent Frauds!
Phantom's action is part of a larger industry-wide effort to tackle unsolicited NFTs and illegal actors. The company also claims that it is combating fraudsters with a phishing alert system, which alerts users of dangerous activities that might damage their assets or authorization if they click on questionable links. Also highlighted in the post is Phantom's collaboration with Blowfish to notify users of phishing attempts.
According to the firm, Phantom has more than 2 million monthly active users for Solana-based NFTs and DeFi. This means that it serves as one of the leading wallet providers. At the beginning of August, rival wallet firm Slope suffered a vulnerability. The vulnerability resulted in the withdrawal of an estimated $8 million worth of funds from Solana Blockchain. Although the problem stemmed from Slope, Austin Fedora, Solana's head of communications, did some research. Because of Fedora's research, it was revealed that 60 percent of abuse victims are Phantom users. According to CryptoSlam data, Solana reached the second highest NFT sales volume with $56.1 million in July. It also follows Ethereum with $535.6 million in volume.