Scams related to crypto wallets are on the rise, and users report a phishing application for mobile devices masquerading as Nami Cardano wallet designed to steal seed phrases and funds.

The fake wallet was found on Apple’s App Store and is still available for download. If a user enters the seed phrase, the app steals the data and sends it to app developers, thereby giving direct access to ADA held on the actual browser-based Nami wallet.

• For the uninitiated, Nami is a legitimate non-custodial browser extension wallet for the Cardano blockchain.
• The platform had earlier pinned a tweet clarifying that they do not have a Telegram channel or a web wallet.

“Beware of scams! Nami does not have a telegram channel nor do we have a web wallet. We do ONLY have a chrome extension. Also all support messages here on Twitter are scams and fakes. @NamiWallet is the only official account.”

• This is a common phishing tactic used by fraudulent entities to pilfer funds from unassuming users by creating fake applications and websites.
• The scam targeting crypto wallet and gateway services gained significant traction amid crucial network developments such as Cardano’s Vasil hard fork and the Ethereum Merge.
• Earlier this year, hackers made away with $8 million in an elaborate Uniswap phishing attack.
• A more recent study showed that phishing attempts related to crypto rose 257% year to year. Approximately 80% of the generic top-level domains (gTLD) reported for phishing were maliciously registered, and crypto wallets were the most targeted brands.
• The report’s author Dave Piscitello stated,

“Cryptocurrency phishing has skyrocketed, especially attacks involving wallets and exchanges. Phishers are applying attack techniques that they’ve used against other financials to virtual currencies with great effect.”