What Is A Crypto Dusting Attack?

As we know that easy access and simple facilitation of the DeFi platform have made them popular. But growing popularity also leads to growing scams. Previously, we have already discussed some common Crypto-scams like phishing, Ponzi, pump and dumps, etc. This time we have come up with yet another scam called “Crypto-Dusting Attack” which we will be discussing in detail.

What Is a Crypto Dusting Attack?

Before we talk about dusting attacks, let us understand what ‘dust’ in terms of cryptocurrency means. ‘Dust’ in the Crypto-world refers to a tiny amount of a crypto-coin or a token that is assigned to your wallet by the dust-attacker. These attackers generally perform the dusting action by analyzing the blockchain transactions and sending the dust to the multiple addresses available on the DeFi platform.

Once the dusting amount gets attached to your wallet the hacker can track your identity as well as all your transactions by invading your private space on the DeFi platform. This enables the hacker to steal the amount in your wallet and also make illegal transactions using your identity.

It can also further lead to a ‘phishing attack’ by the hacker after identifying the primary account of the transaction, in case you have more than one account.

Who Would Perform a Dusting Attack?

Dusting Attack is generally performed by the thieves present on the virtual platform who intend to invade your privacy and loot the amounts through your identity on the DeFi platform.

Sometimes they are also performed by the authorities to keep a track record of the users and to detect any illegal activity. Most government agencies and research labs of companies are using such techniques to prevent such attacks.

Costs Associated with Dusting

The value of dust sent by the attacker is quite marginal. Generally, the dust is linked to the end of the trade and exchange occurring online. But this amount is so small that the user may not even notice that.

However, the attacker still requires paying the network fees to implement the dusting attack.

How Can You Avoid Dusting Attacks?

• By using HD Wallets — HD-wallets or “Hierarchical Deterministic” wallets generate different addresses for each transaction which would make it difficult for the attacker to trace your wallet address. Thus, maintaining your anonymity.
• Exchanging Token — By exchanging or converting the dust with the native token of the particular platform may help in eliminating the dust.
• UXTOs — Some wallets label the dust as UXTO i.e., “Unspent Transaction Output”, which helps you to identify the dust in time.
• By VPNs — You can strengthen your online security through “Virtual-Private Networks” also called VPNs to protect your anonymity.

Should You Be Worried About Getting Dusted?

As long as you are aware of the factors leading to the dust attack or if you can identify and report the dust attack, no one can completely interfere in your private virtual space. Also, even if the attack happens to you, there are ways to get rid of them. So, there is no need to panic in odd situations. Just remember to clear the dust, if you find any.

Final Thoughts

Like many other scams ‘Dusting Attack’ is yet another annoying side-effect of the digitized trading environment which can be curbed by taking proper security measures and being aware of such evil atrocities. It would not only protect your virtual presence but also help you to identify the dubious elements.