**The Hidden Risk of Public WiFi: How a Single Approval Wiped a Crypto Wallet**
The world of cryptocurrency is often associated with cutting-edge technology and innovative financial solutions, but behind the scenes, a new wave of threats is emerging. A recent incident analyzed by security firm Hacken for Cointelegraph highlights the dangers of using public WiFi networks to access cryptocurrency wallets.
A user known as The Smart Ape reported losing approximately $5,000 from his hot wallet after spending three days at a hotel. What's surprising is that he didn't click on a phishing link or make any other obvious mistake – instead, it was a series of "stupid mistakes" that led to the loss.
The incident began when The Smart Ape connected his laptop to the hotel's open WiFi network, which had no password. What he didn't know was that using public networks can be incredibly risky, especially when accessing sensitive financial information. As Dmytro Yasmanovych, cybersecurity compliance lead at Hacken, explained:
"Attackers can exploit Address Resolution Protocol (ARP) spoofing, Domain Name System (DNS) manipulation, or rogue access points to inject malicious JavaScript into otherwise legitimate websites. Even if the DeFi front end itself is trusted, the execution context may no longer be."
As The Smart Ape continued to use his laptop on the public network, an attacker quickly discovered that he was involved in cryptocurrency after overhearing a phone call in the hotel lobby. This information narrowed the target and hinted at the likely wallet stack (in this case, Phantom on Solana).
Crypto expert Jameson Lopp has repeatedly warned about the risks of openly discussing crypto holdings or flaunting wealth. As Yasmanovych noted:
"Cyber attacks do not start at the keyboard. They often start with observation. Public conversations about crypto holdings can act as reconnaissance, helping attackers choose the right tools, wallets, and timing."
The key moment in the incident occurred when The Smart Ape signed what he thought was a normal transaction on a legitimate DeFi front end. However, an injected code replaced or piggy-backed a wallet request that asked for permission rather than a token transfer.
This pattern fits a broader and increasingly common class of attacks known as approval abuse. As Yasmanovych explained:
"The attacker doesn’t steal keys or drain funds immediately. Instead, they obtain standing permissions, then wait, sometimes days or weeks, before executing the actual transfer."
By the time The Smart Ape noticed, his wallet had been emptied of Solana (SOL) and other tokens. While the damage was limited due to the secondary hot wallet, the incident highlights how little is required to swipe users' funds: one untrusted network, one moment of inattention, and one signed approval.
Yasmanovych recommends taking precautions when traveling and accessing public networks:
"Treat all public networks as hostile. Avoid open WiFi for wallet interactions, use a mobile hotspot or reputable VPN, and only transact from hardened, up-to-date devices with minimal browser attack surface."
He also emphasizes the importance of segmenting funds across wallets, treating every onchain approval as a high-risk event to be regularly reviewed and revoked, and maintaining strong physical operational security by never discussing holdings or wallet details in public.
In today's increasingly interconnected world, it's more important than ever to stay vigilant when it comes to protecting our financial information. The story of The Smart Ape serves as a stark reminder of the risks associated with using public WiFi networks and the importance of taking proactive steps to secure our digital assets.