OpenSea and MetaMask Take Aim at Addressing NFT Thefts

New measures to address the issue of stolen NFTs are deployed as OpenSea implements a 7-day window for victims to file a police report and MetaMask rolls out an update to help users identify wallet draining schemes.

In an extended Twitter thread, OpenSea elaborated on its new policy.

“It is against US law to knowingly allow the sale and transfer of stolen items. We do not want to incentivize theft by allowing our platform to be used to help sell stolen items.”

The move comes as NFT theft continues to be a glaring issue in the Web 3 space. However, this measure, in particular, seems to be aimed at protecting users who unknowingly purchased a stolen NFT.

“In some cases, the purchaser who unknowingly bought a stolen item (at no fault of their own) was inadvertently penalized.”

The problem of stolen NFTs is a complex issue with minimal room for recourse. Those who unknowingly purchase a stolen Item are left holding an asset that is effectively blacklisted by the wider Web 3 community.

“This is one of the most difficult issues we face. Please believe we take it seriously & we’ve been actively listening to your feedback on how to tackle it” -OpenSea

Simultaneously, the most commonly used Ethereum wallet, MetaMask is already taking proactive steps to tackle the widespread issue of NFT theft via wallet draining schemes. As of the MetaMask 10.18.0 update which rolled out in late July, there is a stronger emphasis on when a transaction is requesting users to “Set Approval For All”.

This visual cue should be a giant red flag for anyone hoping to avoid getting robbed in broad daylight…or night mode.

While the MetaMask update should address many of the existing wallet-draining methods, scammers will undoubtedly develop more sophisticated social engineering tactics resulting in an endless game of Whack a Mole. Despite the long wait and endless horror stories, these recent moves by OpenSea and MetaMask are a helpful step in the right direction.

That said, don’t get complacent.

If you absolutely want to ensure your peace of mind, nothing beats the sense of security of having your digital assets protected by a Ledger hardware wallet.

You can read more about how I finally made the call to get a hardware wallet:

https://medium.com/coinmonks/web-3-security-setting-up-my-ledger-hardware-wallet-bb3a30bb087e

Be vigilant and stay safe out there.

Thank you for reading.

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Sources:

https://decrypt.co/107368/opensea-changes-stolen-nft-policy-following-user-outcry

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