News 
February 7, 2025 
3 min. 
A sophisticated phishing campaign is currently targeting users of Phantom, the popular Solana-based cryptocurrency wallet, by exploiting fake update notifications.
Web3 security platform Scam Sniffer revealed that attackers are connecting to legitimate Phantom wallets and presenting users with fraudulent “update extension” signature requests designed to steal private keys.
Understanding the Attack Vector
The scammers’ methodology involves creating convincing pop-ups that closely mimic Phantom’s authentic interface. When users encounter these deceptive prompts, they’re asked to enter their seed phrase under the guise of a system update or connection request. Scam Sniffer,on January 31 announced that “Scammers are creating FAKE Phantom popups on malicious websites to steal seed phrases.” He further explained how users can identify fake pop ups as he warned users never to enter their recovery phrase on any website as Phantom never asks for it during connections.
Furthermore, Scam Sniffer has identified key differences between legitimate and fraudulent pop-ups: genuine Phantom windows display “chrome-extension” in their URLs and allow right-click functionality, while phishing attempts typically block right-clicking and lack proper window controls like minimize and maximize options.
“Phantom’s popups act like system windows: you can minimize, maximize, and resize them,” Scam Sniffer noted.
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Phantom’s Growth Amid Security Challenges
The timing of these attacks coincides with Phantom’s significant expansion in the cryptocurrency space. The platform recently announced reaching 10 million monthly active users and processing over 850 million transactions in 2024. With daily revenue reaching approximately $470,000, surpassing Coinbase Wallet, Phantom has become an attractive target for cybercriminals.
The platform’s recent $150 million Series C funding round, led by Sequoia Capital and Paradigm, values the company at $3 billion and underscores its growing importance in the crypto ecosystem. As Phantom continues to expand its features, including the recent launch of multicurrency support across 16 currencies, the need for user vigilance against sophisticated phishing attempts becomes increasingly critical.
