Why Connect Your Wallet to a Third Party Site?

[Hatchy]

For months now, we have seen so many things happening in the crypto space. Hardware wallets have been targeted, vulnerabilities have been discovered in different wallet products, and new types of scams continue to appear. All of this naturally makes people question how safe their crypto really is when they plan to hold it for the long term..While we are still trying to understand the risks that come with some crypto storage, scammers and hackers are also constantly looking for new ways to reach their victims.Most of us have probably heard about wallet drainers, but I believe many people still don't fully understand how dangerous they can be. A wallet drainer is basically malicious software or a malicious smart contract interaction designed to trick users into giving a website permission to move assets from their wallets.

A recent case in Ukraine is a good example of how this works.

According to Ukrainian authorities, a network of scammers created fake cryptocurrency investment platforms and promoted them to people in more than 20 countries. They used social engineering to convince potential victims that they were dealing with legitimate crypto investment services. The fake platforms would then display what appeared to be growing investment balances, giving victims the impression that their money was making profits.

The interesting part came when victims wanted to withdraw their supposed profits. Instead of simply receiving their money, they were instructed to connect their personal crypto wallets to the fake platform. They were then asked to approve what appeared to be a small or simple transaction.That was where the real trap was.

The website reportedly contained a hidden wallet drainer. Once the victim approved the malicious transaction, the attackers could move crypto assets from the victim's wallet to addresses controlled by them. The victims were then essentially left with an empty wallet while the fake investment platform became inaccessible.

Authorities say they have identified 62 victims so far, with victims in countries including Germany, Poland, France, the UK, Canada and Israel. They also said the operation could generate up to $1 million in monthly turnover during its peak period. The investigation is still ongoing.

Source link: https://www.coindesk.com/business/2026/09/06/ukrainian-police-took-down-a-crypto-scam-that-stole-up-to-usd1-million-a-month

This is exactly why I keep wondering, Why connect your wallet to a third party website in the first place?
I understand that connecting a wallet is necessary for many legitimate Web3 applications. But the problem is that many users don't actually understand what they are signing when they connect or approve a transaction. They simply see something like Connect Wallet or "Approve and click it because they believe the website needs it to continue. The majority don't even take the time to read or understand what they are approving.

I don't think people should remain uneducated about the different methods scammers use. The crypto industry has been around long enough for us to understand that scammers will always find new ways to make their schemes look legitimate. If a website promises easy profits, shows you profits that you cannot independently verify, pressures you to deposit more money, or suddenly requires you to connect your personal wallet before you can withdraw, those should be serious warning signs. Personally, I don't think it is smart to connect any wallet or my main wallet containing significant funds to a website simply because the website asks me to. If you absolutely need to interact with an unfamiliar application, it is better to use a separate wallet containing only the amount you can afford to risk. That way, even if something goes wrong, you are not putting your entire crypto holdings at risk. Most importantly, never assume that a website is safe simply because it looks professional. A good looking interface can be created by anyone, and with AI making it easier than ever to create convincing websites, fake platforms can look even more legitimate than they used to.

Crypto gives us a lot of control over our money, but that control also comes with responsibility. There is no way to reverse a transaction after we have willingly signed a malicious transaction.At the end of the day, protecting your crypto is not only about having a good wallet. It is also about understanding what you are doing, where you are connecting your wallet, and what permissions you are giving to third party applications.. for me honestly I don't advice connect your wallet at all, it's one good way to stay safe and avoid many drama.

[Mitchell]

If this is meant to be warning to newbies, please post it in: [General] Crypto scams, attacks and malware. Then again, I think it is already pretty well covered, no? 🤔

[knowngunman]

How scammers are advancing nowadays is legendary. Imagine how they are running two scams at a time in one operation. First, you lose your money to their fake investment and second, they still want to come after your savings in your wallet.

Both scam methods are not really new methods but how they're combined the two at a time is unbelievable. If you fall for the first one, you're likely to fall for the second one too because you'd assume it is the only way to get back your investment without realising it's another separate scam.

Legit platforms do ask users to connect wallet too sometimes but the problem is people don't usually read before they connect and approve transactions. The surest way to avoid this is never use your main wallet to connect to any platform.

[Odohu]

I have seen so many scams that use this pattern but the only difference is that of the scammers still asking their investor to connect wallet so they can drain same, a case of exponential greed. The red flag in this would have been the point of approving small transaction which practically grant the scammers access to the wallet. Connecting wallet containing money to a third party website is dangerous and should never be done.

[Dex_master25]

This post I just read is quite different from others I have been known to exist in the crypto currency space because scammers as we know must always find a way to exploit unsuspecting victims who don't know better than to connect their wallets to these decentralized apps.
If people were to do their own best research on how to use alternative wallets that would prevent total wallet drain like using air-gapped wallet, using burner wallets and see any connection ordered by the apps they are interacting with requesting for them to connect their wallets to withdraw as a red flag, then they won't fall easy victims to such scams waiting to happen when they make these slight mistakes.

[_act_]

If this is meant to be warning to newbies, please post it in: [General] Crypto scams, attacks and malware. Then again, I think it is already pretty well covered, no? 🤔

How I think about this forum before is that a topics that are many are given a board, but instead of requesting for a board, you prefer to create a single thread for what people like to discuss about which they think can help people on this forum. But in the past, cyber security and privacy board was requested for but was not given. I do not think those topics supposed to be posted on just a single thread because there are different news about it almost every time and we know how cryptocurrencies is. One of the things newbies are learning on this forum before is how they can protect their bitcoin, but having a single thread for it may reduce the probability of the newbies following the recent ones. I think we need a board for cyber security and privacy instead of having it on just one board. I may not be right, but that is how I see it. There are many people losing money to this kind of scam.

[Sticky Bomb]

If a website promises easy profits, shows you profits that you cannot independently verify, pressures you to deposit more money, or suddenly requires you to connect your personal wallet before you can withdraw, those should be serious warning signs. Personally, I don't think it is smart to connect any wallet or my main wallet containing significant funds to a website simply because the website asks me to.

This is where people allow greed to supersede their sense of reasoning, the said companies should be verified, including their licenses to be able to provide such offers. Before you come down to verifying the possibility of their claims you should verify their originality of their existence. The red flags are always obvious from the onset and that's why I don't pity people who lost their assets out of greed. People are so greedy they're quick to think about profits without thinking as well about what they can stand to loose in the process.

[Mitchell]

How I think about this forum before is that a topics that are many are given a board, but instead of requesting for a board, you prefer to create a single thread for what people like to discuss about which they think can help people on this forum. But in the past, cyber security and privacy board was requested for but was not given. I do not think those topics supposed to be posted on just a single thread because there are different news about it almost every time and we know how cryptocurrencies is. One of the things newbies are learning on this forum before is how they can protect their bitcoin, but having a single thread for it may reduce the probability of the newbies following the recent ones. I think we need a board for cyber security and privacy instead of having it on just one board. I may not be right, but that is how I see it. There are many people losing money to this kind of scam.

Having scam warnings all over B&H is not helping anyone either, as it makes the section hard to follow. There were a lot of them, not to mention the amount of post those topic got (I'll refrain from commenting on the post quality). It is the same reason why pointless introductory topics are no longer allowed, since there we so many and they added so little.
Just look around in the past and you will understand why it was added. We then also added how to earn Bitcoin, since it was such a common question.

In the end B&H is meant for people asking genuine questions, people who want to genuinely learn and can't ask it in a more relevant section (or just don't know where).


Feel free to create a topic in meta to request a new subforum. I think it is a good idea to have one for something like cyber security.

I'll leave this open for now, but if the post quality keeps being like the other scam warning topics before, I will remove all posts and lock it.

[UchihaSarada]

Feel free to create a topic in meta to request a new subforum. I think it is a good idea to have one for something like cyber security.

People already asked about a board for Cyber security but it has yet been approved by admins.
Meanwhile, most topics related to security were moved to off topic board.

Discussion: "Cybersecurity and Privacy" board + Poll (request v1)
Community Vote: Add "Cybersecurity & Privacy" board to Bitcointalk.
Cybersecurity subforum.

[_act_]

Having scam warnings all over B&H is not helping anyone either, as it makes the section hard to follow.

Maybe. I may not be right, but when I was a newbie, it really helped me. It was the reason I later was searching about how I can avoid hackers and other scammers. I have not been scammed before in anything related to scam or hacking wallets just because of what I have read on this forum like on beginners and help, scam accusation and bitcoin technical boards  which made me to start searching about how I can avoid all scam. But you will know more than us whether newbies are reading what is on the long thread than the new threads than us that are not moderators, but it actually helped me when I was a newbie. But anyway it is, I am good with it and it does not change that you are a good moderator.

[Mitchell]

Maybe. I may not be right, but when I was a newbie, it really helped me. It was the reason I later was searching about how I can avoid hackers and other scammers. I have not been scammed before in anything related to scam or hacking wallets just because of what I have read on this forum like on beginners and help, scam accusation and bitcoin technical boards  which made me to start searching about how I can avoid all scam.

That is why I think having one central topic with recent attacks/tips and tricks/etc is helpful. I understand that it can be overwhelming, since it would be a lot of information, but then again, I feel the same way about all those topics (especially since a lot of people to not go past a few pages).

Either way, thank you for the input.

[Hatchy]

Feel free to create a topic in meta to request a new subforum. I think it is a good idea to have one for something like cyber security.

I'll leave this open for now, but if the post quality keeps being like the other scam warning topics before, I will remove all posts and lock it.

I honestly respect your decision but I don't think it will be right to lock a thread of this nature. I had a lot of thoughts before posting it here on B&H and it's the best place that fits. We don't have to compress all topics on one thread as everyday we have different news on scam and wallet security. I'm not really sure what should be posted on the b&h board anymore, if these kinds of post are no longer allowed.    Not everyone are aware of things like this so I feel it's better to leave em open for discussions. But it's up to you though you are the mod I can't really tell how you guys see things. But I honestly don't see the need of having these types of discussion on one thread..

[Mitchell]

Not everyone are aware of things like this so I feel it's better to leave em open for discussions.

That's the thing though. The point is to share information, not to necessarily discuss it. That is also why General threads have a defined limit on discussions, but of course, it is evaluated case by case.

If people just want to talk or discuss about security issues, scams, etc, I would suggest a more targeted topic about the item in Bitcoin discussion/Altcoin discussion/Off-topic (or the Cybersecurity board if it is made). Really depends on what it is about, but the most relevant board should be used. For example, the ColdCard hack was heavily discussed in Bitcoin Discussion. I, personally, might have argued that Hardware Wallet would be better, but so be it.

Like I said, Beginners & Help is for beginners that need well... help. Endless warnings as we've seen in the last few months/year are just not that helpful.
Informative, yes, but newbies are not going to read all the hundred different warnings and discussions.


EDIT: Sorry for all the edits, I'll stop now. Tried to get all my thoughts out. I need more coffee. ☕️

[Nathrixxx]

What will always remain is that people cannot get acquainted to all informations at the time, despite the existence of the mega threads about security and scam, some may still claim they are not aware of it until they come across any memeber who makes such post as of recent, and the get to learn one or two things from it, as long as a post is not a repetitive of another and have enough thoughts to reason it on a separate thread I think it is not that bad, every newbie will not still be able to get along with some things except they are being informed about them.

[The funny mimi]

What will always remain is that people cannot get acquainted to all informations at the time, despite the existence of the mega threads about security and scam, some may still claim they are not aware of it until they come across any memeber who makes such post as of recent, and the get to learn one or two things from it, as long as a post is not a repetitive of another and have enough thoughts to reason it on a separate thread I think it is not that bad, every newbie will not still be able to get along with some things except they are being informed about them.

I completely agree with you, I believe it’s important for people to keep sharing useful information about security and scams because not everyone will see or understand everything at once. Sometimes a simple post can help someone notice a risk they didn’t know about before. As long as the information is useful and not just repeated without adding anything new I think it can really help newbies learn and stay safe. Most scammers leverage on their victims ignorance and this has made many vulnerable to attacks.

[SquirrelJulietGarden]

That is why I think having one central topic with recent attacks/tips and tricks/etc is helpful. I understand that it can be overwhelming, since it would be a lot of information, but then again, I feel the same way about all those topics (especially since a lot of people to not go past a few pages).

Most scams repeatedly appear and if they are scams this way, such scam methods are known and already mentioned many times too. Repeating reminders about that will be not too necessary, because people who are careful, want to learn, want to change practice will do what they have to do.

In contrast, people who don't mind about these things will ignore repeated topics about a same scam method and warning about it.

For a first type of people, these things are enough for them to learn and stay safe.
https://www.chainsec.io/checklist
https://www.chainsec.io/scams

[Kavelj22]

If people were to do their own best research on how to use alternative wallets that would prevent total wallet drain like using air-gapped wallet, using burner wallets and see any connection ordered by the apps they are interacting with requesting for them to connect their wallets to withdraw as a red flag, then they won't fall easy victims to such scams waiting to happen when they make these slight mistakes.

Usually, users are convinced that they are using a safe website, and will find it lazy to create a new wallet jist to connect to a platform they trust. Remember that you trusted a platform to invest in, why would you doubt its credibility, especially if the amount in the wallet is less than the invested amount.

And another major fact is that most of users aren't aware that wallet drainers ever exist. This is not a justification for the most horrible scenario in the crypto space, but just trying to resume what kind of mistake that is easy yo avoid. Personally i prefer to avoid using dapps

[drangos]

A newbie mistake is to confuse wallet links with contracts authorizing them to use tokens. It is often the approval or signature that comes after that is the larger threat. Afterwards the user can disconnect from the website and keep the token allowance for a contract. This involves not only ensuring wallet safety at the place you connect to. But also checking and revoking any permissions you no longer require. Even if you're an investor in the long term. It's essential to know about token allowances and check them regularly. Because it's just as vital as having a separate account.

[Rikafip]

If this is meant to be warning to newbies, please post it in: [General] Crypto scams, attacks and malware. Then again, I think it is already pretty well covered, no? 🤔

If that's the case (and I agree with you by the way), why not lock this topic, or simply move the first post in that pinned thread of yours?

There are too many similar looking "warning to newbies" type of threads on B&H that keep popping up on a regular basis, while everything important of that sort is already at the top of the board.

[Ambatman]

I would have to go past using a different wallet
Imo it is better to separate the device you use In interacting with the internet or better still web3
From one you use in holding your coins.
Not similar but I have been a victim of clipboard malware before
And having different wallet doesn't necessarily save you from it.

I don't think it is smart to connect any wallet or my main wallet containing significant funds to a website simply because the website asks me to.

If I'm not mistaken
Decentralized exchanges usually ask of such to approve transactions.