Phishing drain of $400M drives wallets to create joint security shield

Major crypto wallets, including MetaMask and Phantom, have partnered with the Security Alliance (SEAL) to launch a global network aimed at combating phishing attacks, following losses exceeding $400 million in early 2025.

SEAL stated:

SEAL says they’ve taken up verifiable phishing report technology

Phishing attacks remain the leading cause of cryptocurrency thefts this year. SEAL and related companies argue that attackers have become more agile, enabling them to evade automated scans. They frequently switch landing pages, host their content from offshore sources, or cloak it.

Latest endeavors from the company enable anyone – researchers, users, and wallet providers – to submit verified phishing reports, which are shared automatically across participating wallets and used to trigger in-the-moment alerts.

MetaMask also announced: “We’ve joined forces to launch a global phishing defense network that can protect more users across the entire ecosystem.”

SEAL has asserted that its system employs a verifiable phishing reporting mechanism that allows trusted users to broadcast alerts across the network in real-time, with no need for administrative privileges. The faster the alerts, the less money lost, the agency said.

Ohm Shah, a Security Researcher at MetaMask, explained that dealing with drainers is a constant cat-and-mouse game, and that by working closely with SEAL, the company can adapt more quickly and better disrupt malicious infrastructure.

WalletConnect’s CTO, Derek Rein, also asserted that through the WalletConnect Certified program, users receive real-time warnings about scam websites. He added that collaboration with SEAL will boost these efforts with additional domain data, calling it a positive step for industry-wide security adoption.

Additionally, Armani Ferrante said that SEAL’s technology enables Backpack to provide users with a safer and more confident way to explore the crypto world. He added that the partnership reflects Backpack’s focus on improving the security of digital asset ownership.

According to Phantom’s senior engineer, Kim Persson, the company’s collaboration with SEAL will also improve domain security and better protect users, reflecting its core focus on safety.

Phishing resulted in the loss of over $400 million in crypto

According to Certik’s analysis, phishing attacks surpassed all other security incidents in the first six months of the year, resulting in losses exceeding $400 million in cryptocurrency. There were about 132 reported cases. The firm’s report shows that wallet hacks were responsible for the largest losses, totaling $1.7 billion across 34 attacks.

Ethereum, in particular, remained one of the top targets for hackers, with 70 exploits and scams reported in the second quarter, a decline from 98 in the first quarter. Certik stated that Ethereum’s prominence in decentralized finance and its vast smart contract activity are what draw attackers to the billions of dollars in assets locked on the network.

At the time, the blockchain security auditor also advised users to be extra vigilant, as phishing tactics evolve, and to verify domains and store assets securely using hardware wallets.

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