Dusting Attacks: How They Work and How to Avoid Them

These transactions are of such small amounts that they may even go unnoticed by the owner of the wallet. By monitoring and analyzing transactions

These transactions are usually for such small amounts that they may even go unnoticed by the owner of the wallet. However, by meticulously monitoring and analyzing these transactions, it is possible to ascertain the identity of the wallet owner. The primary goal of this type of attack is to ultimately steal from the end user.

The term “dust” refers to the minimal quantity of cryptocurrency that typically remains as residue following a transaction between two wallets. Each blockchain (or rather, each cryptocurrency) sets its own minimum.

For the Bitcoin blockchain, the “dust” limit on this network is 547 satoshi (0.00000547 BTC). To put this in perspective, at the current exchange rate, this equates to approximately 0.35 euros, which is hardly a substantial amount. Yet, if the price of Bitcoin were to rise significantly, this limit may no longer be sufficient to even cover the cost of a coffee.

Returning to the matter at hand, transactions with negligible value generate a sort of digital footprint. These days, malicious attackers are undertaking fetching tasks to extract account information. Through these transactions, attackers are able to obtain data from the targeted wallet. Subsequently, they cross-check this data with other techniques, such as web scraping, in an attempt to uncover the user’s identity.

Evading these attacks may seem like a daunting task, given that they involve a combination of transaction advertising and residual information about transactions. Nevertheless, it is important to be aware of a series of actions that can help prevent falling victim to scams or extortion as a result of these attacks. These actions include: