How to Use Blockchain Explorers and Analytical Tools to Stay Safe from Scams

  • Updated

Navigating the world of web3 assets such as NFTs and trending tokens can be exciting, but it’s crucial to stay informed and cautious to avoid falling victim to scams. Tools like blockchain explorers and analytical platforms can help you spot suspicious activity, verify token legitimacy, and protect your wallet. This guide will walk you through how to leverage these tools for your security.

What Are Blockchain Explorers?

Blockchain explorers like Etherscan (for Ethereum) and Solscan (for Solana) are powerful tools that provide transparency into blockchain activity. These platforms allow you to:

  • Verify token contract addresses.
  • Analyze wallet activity and token distribution.
  • Identify and investigate suspicious transactions.

How to Use Blockchain Explorers

  1. Verify Token Contracts:
    Always confirm the token’s contract address matches the official one listed on trusted project platforms like their website or social media.
    Tip: Scammers often use cloned tokens with similar names and slight changes in the contract address to deceive users.
  2. Check Token Holder Distribution:
    Legitimate tokens are usually held by a diverse group of wallets. If you see one or two wallets holding the majority of tokens, it could be a red flag for a potential rug pull.
  3. Investigate Transactions:
    Analyze recent transaction history for irregular patterns, like high-frequency trades between a small group of wallets or unusually large transfers.
  4. Spot Suspicious Permissions:
    Use the explorer to check which dApps or tokens have permissions for your wallet. Suspicious or unknown approvals may require revocation (explained below).
  5. Examine Transaction Hashes:
    Each transaction on the blockchain is assigned a unique transaction hash (TXID). Note: On SOLScan, this is called the transaction signature. Reviewing transaction hashes allows you to:

    • Verify that transactions were completed successfully.

    • Cross-reference the hash with external parties (e.g., exchanges or projects) for legitimacy.

    • Provide the hash to investigative agencies if you need to report fraudulent activity or trace stolen funds.

      Tip: Save transaction hashes for important transfers as they serve as an immutable record of the transaction on the blockchain.

       

Analytical Tools to Help you Stay Safe

When it comes to securing your wallet, Phantom provides built-in tools to manage and revoke app connections. Additionally, external tools like Famous Fox Federation’s Revoker, Revoke.cash, and specialized sniffers such as Token Sniffer and Sol Sniffer add an extra layer of security by helping you identify and address potential threats.

Phantom’s Built-In App Revoke Connection Feature

Phantom Wallet makes it easy to revoke app connections, ensuring no unauthorized dApps or tokens can access your wallet. If you suspect a malicious app, follow these steps to disconnect it:

Steps to Revoke App Connections in Phantom:

  1. Open your Phantom Wallet and navigate to Settings.
  2. Select Connected Apps to view all apps currently linked to your wallet.
  3. Review the list and identify any suspicious or unknown connections.
  4. Click Disconnect for the app you want to revoke a connection to.

By revoking these connections, you prevent apps from interacting with your wallet, reducing the risk of unauthorized transactions or token approvals.

External Tools for Managing Permissions

For enhanced management of token approvals, external tools / dApps provide additional flexibility across blockchains.

Famous Fox Federation’s Revoker (Solana):

  • What It Does: A Solana-based tool that allows you to revoke token approvals and app connections.
  • How to Use:

Revoke.cash (Ethereum and EVM Networks):

      • What It Does: A widely-used tool for managing and revoking token approvals across Ethereum and compatible chains.
      • How to Use:
        • Go to Revoke.cash. (https://revoke.cash/)
        • Connect your wallet and view all active token and dApp permissions.
        • Select the approvals you want to revoke and confirm the action.

These tools work alongside Phantom Wallet’s built-in features, offering more granular control and coverage across multiple blockchain networks. Remember, in our explore tab / built-in browser, you can bookmark all legitimate sites/dApps to quickly go to them again in the future!

Advanced Analytical Tools: Token Sniffer and SOL Sniffer

In addition to revocation tools, Token Sniffer and Sol Sniffer provide automated analysis of token contracts, making it easier to identify scams before engaging with a token.

Token Sniffer (Ethereum and EVM-Compatible):

  • Overview: Scans token contracts for vulnerabilities, scam patterns, and red flags like excessive fees or unlocked liquidity.
  • How to Use:

Sol Sniffer (Solana):

  • Overview: Focused on Solana-based tokens, this tool detects scam tokens, analyzes contract details, and monitors suspicious activity.
  • How to Use:

These sniffers complement revocation tools by identifying potential threats, allowing you to act proactively.

Staying Safe in WEB3

By using Phantom’s built-in tools alongside external revocation platforms and token sniffers, you create a multi-layered defense against scams. Whether you’re revoking app connections, auditing token contracts yourself, or analyzing wallet activity, these tools work together to help you stay secure in the Web3 space.

For more insights on scam prevention, visit our guides on Common NFT Scams and Common Token Scams.

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