Ethereum’s recently introduced smart wallet feature, EIP-7702, is under scrutiny after blockchain security researchers uncovered cybercriminals’ misuse of it. Following the Pectra upgrade, several wallet providers have begun integrating EIP-7702 features.

Analysts at Wintermute, a crypto trading firm, noted that attackers used 97% of EIP-7702 wallet delegations to deploy contracts designed to drain funds from unsuspecting users.

Hackers Use Ethereum’s EIP-7702 to Automate Mass Wallet Drainings

EIP-7702 temporarily allows externally owned accounts (EOAs) to operate as smart contract wallets. The upgrade enables features like transaction batching, spending limits, passkey integration, and wallet recovery—all…