Solana-based crypto wallet will allow burning NFTs to protect users from scammers
Phantom, a Solana-based crypto wallet announced that it will allow users to start burning non-fungible-tokens (NFTs) to protect Solana users from crypto scammers. This comes weeks after the Solana blockchain was the victim of the latest crypto theft with thousands of users reporting their funds being drained without their knowledge.
“Spam is a hard problem to solve. Bad actors are taking advantage of Solana’s low transaction fees to exploit iconic mechanics of web3, such as NFT airdrops,” Phantom wrote in a blog post. NFT airdrop often claims to give users a free gift NFT for which they have to click on a malicious link.
Now, users will be able to report and burn any malicious NFT. Simply select the NFT you want to burn in the Collectables Tab, and select the Burn Token function located in the top-right menu. “Once an NFT is burned, the token is permanently removed from the wallet and you receive a small deposit of Solana token that serves as the “rent” used to pay for storage,” the company said in a blog post.
NFT scammers usually trick users into using a misleading site, users are asked to approve a transaction to “mint” or “claim” a free NFT, but instead, they lose their funds. They are asked to input their seed phrase, which results in a total loss of funds.
When a particular NFT is remoted and burned by several members of the community, the Phantom team finds out about it and adds it to a block list which hides the NFT and creates a warning that the site is malicious.
“Users can look forward to more automated spam detection in the future. Using providers like SimpleHash and our own internal reporting, we will be able to gauge if an NFT is likely to be spam. We are excited to roll this out to our users in the coming months,” the company added.