Chinese authorities have apprehended an individual suspected of committing identity forgery to unlawfully claim cryptocurrency tokens from the StarkNet (STRK) airdrop. Identified as Lan Mou, the suspect was arrested in Guangdong Province on April 25, along with several devices allegedly used to facilitate the crime.
Detailed Account of the Fraud
Lan Mou reportedly created over 40 fake Early Community Member Program (ECMP) forms under stolen identities to acquire more than 40,000 STRK tokens meant for legitimate participants. The tokens were subsequently transferred to an OKX wallet and converted into over $91,000 in Tether (USDT). The arrest followed a thorough investigation triggered by abnormal activities noticed during the airdrop, which was aimed at distributing tokens to early users of the StarkNet ecosystem.
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Broader Impact on the Crypto Community
This incident underscores the growing issue of identity theft and fraud in the cryptocurrency sector, particularly around the distribution of free tokens through airdrops. StarkNet’s airdrop, which began on February 20, distributed 700 million STRK tokens to various stakeholders in the Ethereum layer-2 network and saw its initial 45 million tokens claimed in under 90 minutes, highlighting its popularity and the potential for fraud.
Concerns About Airdrop Squatting
The event also draws attention to the practice of airdrop squatting. Pseudonymous developer Banteg from Yearn.finance highlighted concerns regarding StarkNet’s eligibility list, which included many professional airdrop hunters known for manipulating multiple accounts to maximize their gains. This practice was similarly observed in the Arbitrum airdrop earlier in March, where $3.3 million worth of tokens were moved from numerous wallets into just two, indicating potential consolidation and manipulation by squatters.
This case of identity forgery in the StarkNet airdrop represents one of the more significant instances of airdrop-related fraud, reflecting both the vulnerabilities associated with crypto distributions and the challenges facing law enforcement in policing this relatively new digital frontier.
