Solana introduces burn factor to protect investors against NFT scams
Solana oriented wallet services provider Phantom has unveiled a new burn feature to allow users get protection against spam non-fungible tokens (NFTs) sent by scammers, according to Cointelegraph. Going by a Phantom’s blog post, the new feature will be accessible through the Burn token tab in the Phantom wallet application, to allow users receive a small deposit of Solana (SOL) every time it is used.
As stated by Cointelegraph, Phantom mentioned about the NFT scammers issue and how it has been present on Solana due to low transaction fees, with bad actors airdropping supposedly free NFTs filled with malicious links. Through spam NFTs, a receiver gets the link to mint a free NFT. However, after completion of the process, the user’s wallet gets emptied of all the funds. Alternatively, the link instructs the receiver to enter their seed phase which would result in the same outcome. “These scams are becoming sophisticated. For instance, after a contract address and domain are identified as malicious, scammers can change the metadata of a NFT to try to avoid being blocklisted,” the blog post read.
On the basis on information by Cointelegraph, this step will aim to be a part of Phantom’s initiative against spam NFTs and bad actors in the sector. Phantom stated its methods of fighting against scammers through its phishing warning system which issues warning to users if they click on dubious links. The post also emphasised on Phantom’s partnership with Blowfish to improve alerting users on phishing attempts.
Moreover, Cointelegraph mentioned that Phantom is considered one of the popular wallet providers for Solana based NFTs and decentralised finance (DeFi), with more than two million active users according to the firm. Solana gained $56.1 million in NFT sales volume for the month of July, behind Ethereum which posted $535.6 million, according to data from CryptoSlam.
(With insights from Cointelegraph)
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