Ethereum Foundation Backs SEAL to Cut Wallet Drainer Losses and Boost Security

Crypto security efforts across Ethereum are getting a fresh boost as scams continue to drain funds from everyday users. In response, the Ethereum Foundation has launched a new partnership aimed at reducing losses and improving real-time visibility into emerging threats across the ecosystem.

Ethereum Foundation Boosts Security as Wallet Drainer Losses Mount

The foundation is sponsoring crypto security nonprofit Security Alliance (SEAL) to track and disrupt wallet drainers, phishing campaigns, and social engineering attacks targeting Ethereum users. SEAL announced on Monday that it had launched the “Trillion Dollar Security” initiative with backing from the foundation, following discussions late last year on funding dedicated security work.

As part of the arrangement, the Ethereum Foundation is funding a full-time security engineer embedded with SEAL’s intelligence team. The role focuses exclusively on monitoring drainer development, mapping attacker infrastructure, and responding quickly to new threats as they surface.

SEAL operates as a nonprofit dedicated to protecting crypto market participants. Its work includes sharing threat intelligence, coordinating incident response, and providing legal support for white-hat hackers involved in defensive operations. The Ethereum Foundation publicly endorsed the initiative on X, saying SEAL’s past efforts have already delivered tangible benefits to the ecosystem.

Wallet drainers typically rely on fake websites, cloned user interfaces, and fraudulent emails designed to impersonate legitimate crypto services. Users are often tricked into approving transactions that appear routine but ultimately give attackers permission to empty their wallets. As these tactics grow more sophisticated, early detection and coordinated monitoring have become increasingly critical.

Scam Losses Hit Record Low as SEAL Expands Security Monitoring

The Trillion Dollar Security initiative also introduces a public dashboard that tracks Ethereum’s overall security posture across several key areas:

• User experience risks, such as wallet approvals and interface design.
• Smart contract vulnerabilities and deployment practices.
• Infrastructure and cloud security, including nodes and hosting layers.
• Monitoring, incident response, and governance risks tied to social coordination.

Each area highlights priority risks and security controls that require ongoing attention from developers, infrastructure providers, and security teams.

According to data from crypto intelligence platform ScamSniffer, scammers have stolen nearly $1 billion over several years. Losses, however, dropped sharply to $84 million in 2025—the lowest level on record—following coordinated enforcement and investigative efforts led by SEAL and other security groups.

SEAL said the Ethereum partnership marks the first of several planned collaborations. Other blockchain ecosystems have been invited to explore similar sponsorship models aimed at protecting users at scale.