Crypto scams: A technique using SMS and messaging apps is invading the industry – BeinCrypto

Crypto scams continue their upsurge. One technique in particular is spreading more and more, even going so far as to invade users’ phones.

A recipient error as a gateway

Crypto scams are never short of inventiveness when it comes to attracting new victims. With the apparent recovery from the crypto crisis, scams are back in business. After the use of ever more pernicious techniques, even going so far as to use holograms, the invasion seems to be in order.

According to a report from Coinbase, the technique of “pig butchering” would be fashionable again. This has already been reported several times through Tinder scams or Facebook conversations. The criminal would approach the victim and then, after gaining their trust, offer to continue the conversation on an encrypted message service. The consenting victim was then offered to invest in a high-yield crypto project, even receiving a first bonus. The latter made it possible to convince the sometimes cautious individual so that he would invest more afterwards. The money paid actually came from the wallet of the scammer, who later recovered it with the investments of his victim.

However, a New version of this technique was born this summer. Usually taking root on the victim’s phone, they now use simple text messages to reach more and more people. Messaging applications such as WhatsApp would also be plagued by it. The strategy is simple: the scammer sends a completely banal message to a potential victim. Then claiming that it was sent to the wrong recipient, the criminal engages in conversation. He would then try to gain the confidence of his interlocutor day after day, until he broached the subject of false crypto investments. It is therefore recommended to be extremely careful if you receive an SMS from an unknown number, including if it claims to have the wrong number.

Source: CNBC Make it Twitter account

Users seem increasingly worried about their crypto

As crypto attacks and scams have become the new scourge of the crypto sphere, improving protocols could be one of the industry’s top priorities. A necessity that has become even greater since users are aware of the risks they run. Some of them have become very careful about the security of their assets, even going so far as to point out the slightest error.

This is, for example, what Coinbase is currently incurring. Already in turmoil following a case of insider trading, the platform has been sued by a hundred of its customers in Georgia. According to them, the security of the accounts is not sufficiently assured. The system supposed to protect Coinbase would be lax and allow hackers to steal coins very easily. The plaintiffs would also have paid the price; one, George Katulla, reportedly had his crypto wallet emptied in a previous attack. Nearly $6,000 would then have been stolen, although Coinbase was able to recover some of it.

Contrary to its claims, Coinbase does not properly use standard practices to ensure the security of consumer accounts. Further, the platform inappropriately and unreasonably blocks its consumers’ access to their accounts and funds, either for extended periods of time or permanently.

Excerpt from complaint filed against Coinbase.

Following this new legal attack, Coinbase may have to reimburse a minimum of $5 million to its disgruntled community.


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Crypto scams: A technique using SMS and messaging apps is invading the industry – BeinCrypto

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