An unknown actor created 21,877 wallets on the Ethereum-based second-layer zkSync as part of a Sybil attack tactic, according to blockchain researcher Lingland 09.
Warning: 21,877 sybil wallets by one person #zkSync
Let’s disclose this individual\’s sybil tactics; he funded all of his wallets with very small amounts of ether, then he deployed Gemstone ( $GEM ) token that wasn\’t open source. (https://t.co/UXS2O2fivg)
++ pic.twitter.com/firJbfcdfL— Lingland 09. ∎ (@lingland09) September 10, 2023
The expert suggested that the user\’s multi-accounting was aimed at taking part in a potential airdrop of the protocol’s utility tokens, and broke down his actions step by step. According to on-chain data, after addresses were registered, the unknown individual:
- deployed the Gemstone (GEM) token with open-source code;
- for an unknown reason whitelisted all 21,877 wallets, on each of which he tagged GEM;
- launched a closed decentralized exchange solely for trading his own coins;
- added 80 ETH liquidity to the GEM/WETH pair to simulate real trading. As a result, the token gained real value, and the user even earned a profit of 0.6–0.7 ETH.
Lingland 09 noted that, by maintaining full control over liquidity, the trader avoided slippage losses, and all operations were executed by bots.
As a result, the user accumulated ten transactions per wallet at the cheapest possible rate, spending $1.5–2 per address, the researcher noted. This gives him a claim to a potential distribution of the network\’s tokens alongside legitimate projects.
“Meanwhile, this person must be a professional airdrop hunter, but on-chain is a transparent glass, and every transaction is traceable (if desired). We trust the Matter Labs team, which will not compromise with attackers,” Lingland 09 concluded.
As reported by X-explore and journalist Colin Wu estimated the average income of airdrop hunters at $9,384, and for the premium segment the figure was $18,935.