Fake GIWA Network Drains $2M From Wallets Through Credible Counterfeiting

A fake Ethereum Layer 2 network impersonating the unreleased GIWA mainnet drained approximately $2 million from over 1,300 wallets. The attackers created a fully functional counterfeit blockchain that included a cross-chain bridge and compatibility with the OP Stack.

The scheme used a reserved chain ID (9134) for the genuine GIWA network to make the fake infrastructure appear connected to the legitimate project. This allowed users to trust the network, contributing to accelerated deposits of 767.65 ETH through the fraudulent bridge before funds were drained from affected wallets.

DYORSWAP, a decentralized exchange, mistakenly listed the counterfeit network as the genuine GIWA mainnet, further adding to its credibility. The exchange has since begun compensating users for their losses, allocating over 200 ETH in reparations.