Ethereum Pectra Upgrade’s EIP-7702 Triggers Sweeper Attacks, Exposing Wallet Security Flaws
Ethereum’s recent Pectra upgrade, featuring EIP-7702, was designed to enhance wallet usability and security through account abstraction, allowing wallets to temporarily function as smart contracts. While this improves user experience, the upgrade has unintentionally accelerated ’sweeper’ attacks targeting compromised wallets. Security experts report that malicious contracts, especially one named ’CrimeEnjoyor,’ have exploited stolen or leaked private keys to rapidly drain wallets, with single incidents reaching losses of $150,000. The upgrade itself is not the root cause; rather, it amplifies the speed and efficiency of attacks when private keys are compromised. Experts urge Ethereum wallet providers to boost user awareness, strengthen monitoring of smart contract interactions, and improve signing prompts. The incident highlights critical risks for Ethereum traders—especially in the aftermath of major network upgrades—underscoring the importance of robust private key protection and adaptive security practices as the protocol evolves. These developments may increase caution and volatility within the Ethereum ecosystem.
Bearish
The immediate aftermath of the Ethereum Pectra upgrade with EIP-7702 has seen a notable rise in successful sweeper attacks, facilitated by the new wallet features when private keys are compromised. While the upgrade brings innovation and improved user experience, the increased efficiency of attacks has led to high-profile losses and heightened security concerns. Short-term, this erodes trader confidence and may result in increased caution or selloffs, contributing to volatility and a bearish sentiment for ETH. In the long term, unless robust protective measures and user education are swiftly implemented, persistent exploitation could weigh on price recovery and overall network trust.