WLFI Faces Backlash As False Lazarus Claim Exposes Flaws in On-Chain Analysis
The post WLFI Faces Backlash As False Lazarus Claim Exposes Flaws in On-Chain Analysis appeared on BitcoinEthereumNews.com.
Key Insights: On-chain analysis can create false links when contract behavior is not checked, as seen in the WLFI case. A WLFI user lost access to $95,000 after a mistaken tag linked his wallet to a North Korean hacking group. The report missed real issues, showing why on-chain analysis needs careful reading, not quick conclusions. On-chain analysis is meant to help people understand what happens on the blockchain. It shows who sent what, when they sent it, and which wallets are linked. But this week showed that even clear data can be read the wrong way. One mistake turned into a public claim, froze a user’s money, and turned a simple contract bug into a national security story. Let us understand how! The On-Chain Analysis Mistake The problem started when a watchdog group released a long report about WLFI, a token project linked to the Trump family. The report said that a user named shryder.eth had interacted with the Lazarus Group. The Lazarus Group is a North Korean state-backed hacking team known for attacking banks, exchanges, and even government systems. The claim was serious. It came with screenshots, wallet paths, and transaction history. Anyone reading it quickly would think the connection was real. But the report did not check the smart contract behind the token that created the “Lazarus link.” A meme token called Dream Cash had set the Lazarus wallet as its contract owner. This meant the token looked like it came from Lazarus, even though Lazarus never touched it. When Shryder.eth claimed the token, the transfer appeared as if it came from the hacker group. It was only a trick created by the contract setup. The analyst team did not catch this. They treated the token claim as proof of a real link. That error became the basis…
