Report: Ethereum's Gas-Guzzling Suspected Ponzi FairWin Funds at Risk

The biggest Ethereum contract in the industry, dubbed FairWin, is allegedly putting user funds at risk and continues to guzzle a major amount of gas on the network.

Multiple crypto social media users have been analyzing what they believe to be the fastest-growing Ponzi scheme on Ethereum.

A detailed Dune dashboard has been collated by security and anti-phishing researcher Harry Denley at Meta Cartel Ventures, giving an overview of the contract and its creators' exploits.

Denley notes that "The FairWin contract is a suspected Ponzi HYIP scheme, which holds a significant amount of ETH in it."

His dashboard provides a link to a Reddit thread collecting details of 6 Ether wallets that are allegedly accounting for high percentage levels - fluctuating around 50% - of network gas used and that are all purportedly spamming deposits to the same contract address.

One of the biggest-ever scams on Ethereum, users claim.

A detailed allegation from Reddit contributor chutiyabehenchod on Sept. 20 outlined that FairWin is purportedly mainly shared on Chinese social media and blogs, and works as a 5-day period high yield investment program whereby users allegedly deposit 1-15 ETH and get a percentage return of 0.5-1% after 5 days.

The post concludes with the claim that FairWin could "Be one of the biggest scams ever seen in Ethereum."

As reported just last week, Ethereum network participants are currently attempting to raise the network's block size as a direct response to network congestion.

Rather than just gas-guzzling suspected Ponzis, some have attributed the uptick in network usage to stablecoin Tether, which has shifted its reliance from Bitcoin via the Omni Layer to the Ethereum blockchain.