Webaverse Co-Founder Ahad Shams has revealed that he fell victim to a $4 million cryptocurrency hack during a meeting at a Rome hotel. Shams met with scammers posing as investors, including a man named Mr. Safra, who had expressed interest in investing in Web3 companies. Despite initial skepticism, Shams agreed to meet them in person in a Rome hotel lobby to show proof of funds.
During the meeting, Shams transferred 4 million USDC into a Trust Wallet, but things took a turn when Mr. Safra asked to see the wallet’s balances and took pictures of them. Shortly after, Mr. Safra left the meeting room, never to return, and the funds were siphoned off from the wallet.
Shams reported the theft to local authorities and filed a report with the US Federal Bureau of Investigation. However, the co-founder is still unsure how the hackers gained access to the newly created fiat wallet, as he did not disclose his private key and was not connected to public WiFi at the time.
Webaverse and Shams are actively investigating the incident, seeking technical information from Trust Wallet to determine the attack vector. Shams believes the exploit is similar to a previous NFT scam where funds were drained within a short timeframe.
The stolen $4 million in USDC was quickly converted into Ether, wrapped-Bitcoin, and Tether via the 1inch exchange feature. While the incident is undoubtedly a setback for Webaverse, Shams reassures that the company’s short-term commitments and plans will not be affected. They have enough resources to sustain operations for the next 12-16 months.
Trust Wallet has been contacted for comment but has not responded as of press time.
The incident serves as a reminder of the risks associated with cryptocurrency investments and the importance of verifying the authenticity of potential investors. It also highlights the need for extra precautions when handling funds in the digital realm. As the investigation continues, Webaverse and Shams hope to gain more clarity on the attack and prevent similar incidents in the future.
