Bansky NFT scam, which cost $336,000 or £242,000, might have happened because of the artist's negligence. The fraudulent activity occurred last Tuesday, Aug. 31. Security experts explained that the scammers advertised a blockchain artwork on the popular website, claiming that it is Banksy's first NFT or non-fungible token.
The fake blockchain masterpiece on the world-renowned graffiti artist's official website was sold to a British collector. However, it was later found out that the thousand-dollar NFT was actually counterfeited.
On the other hand, Sam Curry, a cybersecurity expert, claimed that the scam took place because Banksy ignored his warning. He added that the official website of the English-based modern-day painter could have a weakness on the social network Discord.
"I'd clicked one and immediately saw it was vulnerable, so I reached out to Banksy's team via email as I wasn't sure if anyone else had," said Palisade's founder and security consultant.
Banksy's Negligence Leads To NFT Scam?
According to BBC's latest report, NFTs are artworks that can be tokenized to create a digital certificate of ownership, which users receive when they buy or resell the blockchain product.
However, security experts claimed that non-fungible tokens are quite vulnerable to scams and other fraudulent schemes since they don't really provide the actual digital masterpiece or copyright.
Now, with only one mistake of Banksy, a thousand-dollar NFT scam happened. Curry explained that the graffiti artist did not respond to his emails. The security experts even said that he tried other methods just to contact Banksy, including messaging the modern-day artist on his official Instagram account.
Sources confirmed that the cybersecurity researcher already contacted Banksy way back on Aug. 25, which is roughly six days before the scam took place on the artist's official web page.
How To Avoid Fake NFTs
Since NFT is now becoming more popular than ever, many people are now digging deeper into this rising blockchain artwork. However, scammers are also becoming more interested in non-fungible tokens since they think that new fans are easy targets.
If you don't want to be one of their victims, you can follow these simple tips provided by NFTCulture:
- If you are buying a bespoke edition of something, make sure it exists on the marketplace you are using before purchasing.
- Be sure to know the accurate contract address of the piece you are buying.
- Top-tier marketplaces do have some checks and balances in place that make it safer when purchasing art.
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Written by: Griffin Davis