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CertiK Expert Discusses Surge in Social Engineering Crypto Scams

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The state of security across the crypto and blockchain space has changed significantly in the past few months. Traditional smart contracts exploited or brute force attacks on blockchain networks are being superseded by crypto scams like rug pulls and pump-and-dump schemes. 

BeInCrypto spoke with a spokesperson from security firm CertiK to understand how blockchain and security threats are evolving and how projects and users can safeguard against future exploits.

Over the past few months, the crypto community has seen a rise in social media-related hacks. This increasingly common tendency has pivoted away from the orchestration of more sophisticated blockchain attacks that have traditionally plagued headlines. 

Whereas smart contract exploits or blockchain hacks require more knowledge, hackers have found an easier avenue by targeting social media accounts instead.

“Social‬‭ media‬‭ accounts‬‭ have‬‭ become‬‭ attractive‬‭ targets‬‭ due‬‭ to‬‭ their‬‭ broad‬‭ reach‬‭ and‬‭ the‬‭ trust‬‭ followers‬‭ place‬‭ in‬‭ verified‬‭ profiles.‬‭ Compared‬‭ to‬‭ complex‬‭ blockchain‬‭ attacks,‬‭ hijacking‬‭ a‬‭ social‬‭ media‬‭ account‬‭ offers‬‭ a‬‭ quicker,‬‭ less‬‭ technically‬‭ demanding‬‭ way‬‭ to‬‭ spread‬‭ scams‬‭ to‬‭ a‬‭ massive‬‭ audience.‬‭ The‬‭ growing‬‭ frequency‬‭ of‬‭ such‬‭ breaches‬‭ suggests‬‭ hackers‬‭ are‬‭ focusing‬‭ more‬‭ on‬‭ social‬‭ engineering‬‭ and‬‭ credential theft over direct blockchain exploitation,” a CertiK spokesperson told BeInCrypto.

The accessibility of social media hacking has, in turn, expanded the pool of malicious actors capable of these attacks.

“‬This‬‭ trend‬‭ may‬‭ also‬‭ be‬‭ due‬‭ to,‬‭ in‬‭ part,‬‭ a‬‭ skills‬‭ gap‬‭ among‬‭ malicious‬‭ actors.‬‭ For‬‭ instance,‬‭ drainer-as-a-service‬‭ has‬‭ opened‬‭ doors‬‭ to‬‭ scammers‬‭ who‬‭ don’t‬‭ necessarily‬‭ understand‬‭ how‬‭ to‬‭ manipulate‬‭ smart‬‭ contracts.‬‭ Many‬‭ of‬‭ these‬‭ scammers‬‭ are‬‭ from‬‭ the‬‭ younger‬‭ generation,‬‭ which‬‭ means‬‭ they‬‭ are‬‭ more‬‭ likely‬‭ to‬‭ speak‬‭ about‬‭ their‬‭ financial‬‭ pursuits‬‭ online,‬‭ which‬‭ fuels‬‭ more‬‭ users‬‭ attempting‬‭ to‬‭ use‬‭ social‬‭ media‬‭ for‬‭ malicious‬‭ purposes,” the spokesperson added. 

X (formerly Twitter) has quickly become the social media platform of choice among Web3 hackers.

After US President Donald Trump launched his meme coin only two days before assuming office, hackers began to take advantage of the hype to hack high-profile X accounts and convince followers to invest in scam meme coins.

Last month, anonymous hackers took over the X account of the former Malaysian Prime Minister Mahathir Mohamad to promote MALAYSIA, a fake meme coin promoted as the country’s official cryptocurrency. 

The post was removed within an hour, but the damage was done. Analysis shows that these hackers were probably related to the infamous Russian Evil Corp and that they stole $1.7 million in this rug pull.

“Given‬‭ that‬‭ X‬‭ is‬‭ the‬‭ most‬‭ popular‬‭ crypto‬‭ social‬‭ media‬‭ application,‬‭ it‬‭ makes‬‭ sense‬‭ that‬‭ popular‬‭ accounts‬‭ on‬‭ the‬‭ platform‬‭ have‬‭ been‬‭ targeted‬‭ to‬‭ attract‬‭ the‬‭ most‬‭ victims,” Certik spokesperson said. 

The MALAYSIA token scam happened only two weeks after hackers exploited former Brazilian President Jair Bolsonaro’s social media account. In that instance, scammers promoted the BRAZIL token, which rose over 10,000% in minutes, netting the scammers over $1.3 million.

These scams have also affected technological companies.

Attacks on Tech Companies

In December, AI research and development company Anthropic also saw its X account hacked. A fraudulent post claimed that a fake token called CLAUDE would incentivize AI and crypto projects and included a wallet address for investors.

Attackers managed to collect around $100,000 from speculative investors. 

“The‬‭ trend‬‭ is‬‭ real‬‭ and‬‭ concerning.‬‭ The‬‭ breaches‬‭ of‬‭ accounts‬‭ belonging‬‭ to‬‭ global‬‭ leaders‬‭ and‬‭ tech‬‭ companies‬‭ highlight‬‭ how‬‭ threat‬‭ actors‬‭ are‬‭ targeting‬‭ platforms‬‭ with‬‭ wide-reaching‬‭ influence,‬‭ using‬‭ them‬‭ to‬‭ amplify‬‭ fraudulent‬‭ crypto‬‭ schemes.‬‭ It‬‭ reflects‬‭ a‬‭ shift‬‭ in‬‭ tactics‬‭ where‬‭ social‬‭ media‬‭ is‬‭ becoming‬‭ a‬‭ primary‬‭ vector‬‭ for‬‭ crypto-related‬‭ scams,” the CertiK spokesperson told BeInCrypto.

These situations also highlight a broader issue of weak account security on social media platforms. As a result, even prominent individuals are susceptible to security breaches that directly affect the crypto community.

TRUMP Meme Coin Launch Was a Catalyst For Crypto Scams

After the launch of TRUMP, the frequency of socially engineered scams has become more apparent. In January, Ethereum co-founder Vitalik Buterin published a cathartic social media post criticizing TRUMP and meme coins.

“Now is the time to talk about the fact that large-scale political coins cross a further line: they are not just sources of fun, whose harm is at most contained to mistakes made by voluntary participants, they are vehicles for unlimited political bribery, including from foreign nation states,” Buterin claimed.

Buterin highlighted the tokens’ role in enabling scams and political corruption in crypto and blamed a regulatory loophole former SEC Chair Gary Gensler created for allowing bad actors to exploit governance tokens.

However, these crypto scams extend beyond political themes. 

Growth of Social Engineering Exploits

A week after Buterin cautioned against political meme coins, a Coinbase user lost $11.5 million after falling victim to a social engineering scam on Base. 

Crypto sleuth ZackXBT uncovered the exploit, pointing out that this incident is part of a growing trend, with multiple Coinbase users suffering similar losses. He also estimates that crypto scams of this nature have drained at least $150 million from Coinbase customers. 

“Coinbase has a serious fraud problem. I just uncovered many more recent thefts from Coinbase users. The $150 million stolen from Coinbase users in a year is just from thefts I independently confirmed. So it’s more than likely multiples of this number,” ZachXBT stated.

In social engineering scams, attackers use phishing emails, spoofed calls, and other deceptive tactics to trick victims into revealing private keys or login credentials. Once they gain access, they drain wallets, move funds, and take control of accounts.

For CertiK, these situations stipulate the need for stronger security measures. 

“Web3‬‭ security‬‭ platforms‬‭ are‬‭ adapting‬‭ by‬‭ expanding‬‭ their‬‭ focus‬‭ beyond‬‭ smart‬‭ contract‬‭ vulnerabilities‬‭ to‬‭ include‬‭ broader‬‭ threat‬‭ detection,‬‭ particularly‬‭ around‬‭ social‬‭ engineering‬‭ risks.‬‭ Many‬‭ are‬‭ integrating‬‭ AI-driven‬‭ monitoring‬‭ tools‬‭ to‬‭ flag‬‭ unusual‬‭ account‬‭ activity,‬‭ especially‬‭ on‬‭ social‬‭ media,‬‭ and‬‭ are‬‭ educating‬‭ users‬‭ about‬‭ the‬‭ dangers‬‭ of‬‭ impersonation‬‭ scams.‬‭ The‬‭ evolving‬‭ threat‬‭ landscape‬‭ has‬‭ prompted‬‭ a‬‭ more‬‭ holistic approach to security, blending traditional blockchain defenses with social platform safeguards,” the spokesperson said. 

Addressing these security challenges is crucial as new crypto projects increase exponentially.

Prioritizing Proactive Security in a Rapidly Growing Industry

The Web3 sector is experiencing consistent growth, marked by a surge in new crypto project launches. This innovative momentum is expected to continue, but it’s also fueling security concerns.

Notably, the increasing rate of scams and hacks in the first three months of 2025 makes it clear that security efforts are struggling to keep up with innovation.

A study by Precedence Research estimates the Web 3.0 market will expand from USD 4.62 billion in 2025 to approximately USD 99.75 billion by 2034, with a projected compound annual growth rate (CAGR) of 41.18% during that period.

Predicted market size of Web3 in the next ten years.
Predicted market size of Web3 in the next ten years. Source: Precedence Research.

Yet, CertiK believes that project developers are pushing security considerations toward the end of the priority list.

“Despite‬‭ the‬‭ surge‬‭ in‬‭ new‬‭ projects,‬‭ adherence‬‭ to‬‭ proper‬‭ audit‬‭ protocols‬‭ remains‬‭ inconsistent.‬‭ While‬‭ some‬‭ projects‬‭ prioritize‬‭ thorough‬‭ smart‬‭ contract‬‭ audits,‬‭ others‬‭ rush‬‭ to‬‭ the‬‭ market,‬‭ sidelining‬‭ security‬‭ to‬‭ capitalize‬‭ on‬‭ market‬‭ trends‬‭ in‬‭ an‬‭ attempt‬‭ to‬‭ generate‬‭ rapid‬‭ profits,” said the CertiK spokesperson.

Understandably, the considerable rise in Web3 projects makes it more difficult for security firms to keep up with the pace and width of demand.

“Although‬‭ there‬‭ is‬‭ growing‬‭ awareness‬‭ around‬‭ the‬‭ importance‬‭ of‬‭ audits,‬‭ the‬‭ pace‬‭ of‬‭ new‬‭ launches‬‭ often‬‭ outstrips‬‭ the‬‭ capacity‬‭ of‬‭ security‬‭ firms,‬‭ leading‬‭ to‬‭ such‬‭ gaps.‬‭ Consequently,‬‭ many‬‭ projects‬‭ are‬‭ vulnerable‬‭ to‬‭ exploits,‬‭ highlighting‬‭ the‬‭ need‬‭ for‬‭ more standardized auditing requirements across the space,” the spokesperson concluded. 

As the Web3 ecosystem evolves, a proactive and adaptive security approach is critical. Prioritizing both blockchain integrity and social media vigilance will be essential for safeguarding the growing Web3 ecosystem.

The battle against these exploits requires a future where security is not an afterthought but a foundational pillar of every Web3 project and user interaction.

Disclaimer

Following the Trust Project guidelines, this feature article presents opinions and perspectives from industry experts or individuals. BeInCrypto is dedicated to transparent reporting, but the views expressed in this article do not necessarily reflect those of BeInCrypto or its staff. Readers should verify information independently and consult with a professional before making decisions based on this content. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.



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Bitcoin ETF investors hold strong despite a 25% BTC price drop: Here’s why

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  • US Bitcoin ETFs collectively manage $115 billion in assets
  • Since mid-February, Bitcoin ETFs have witnessed total outflows of nearly $5 billion
  • Bitcoin’s decline continues as selling pressure intensifies

Even as Bitcoin’s price has tumbled 25% since the start of 2025, a staggering 95% of investors in US spot Bitcoin ETFs have held firm, resisting the urge to sell.

Despite market volatility and macroeconomic uncertainties, Bloomberg data suggests that the overwhelming majority of ETF holders remain unfazed, showcasing strong conviction in Bitcoin’s long-term potential.

Bitcoin ETFs show resilience 

Bloomberg ETF strategist James Seyffart reported that inflows into Bitcoin ETFs have slightly declined to $35 billion, down from their $40 billion peak.

However, this still represents over 95% of investor capital remaining in ETFs, even as Bitcoin’s price struggles.

Institutional investors, including Goldman Sachs, continue to maintain significant exposure, with more than $1.5 billion invested in Bitcoin ETFs.

As of now, US Bitcoin ETFs collectively manage $115 billion in assets, underscoring the staying power of both retail and institutional investors despite the crypto market downturn.

Bitcoin ETF outflows persist

Since mid-February, Bitcoin ETFs have witnessed total outflows of nearly $5 billion.

On March 13 alone, outflows reached $135 million, according to Farside Investors.

However, BlackRock’s iShares Bitcoin Trust (IBIT) remains an exception, attracting net inflows of $45.7 million amid the broader sell-off.

Bitcoin price faces pressure 

Bitcoin’s decline continues as selling pressure intensifies due to macroeconomic concerns, including the Trump administration’s ongoing tariff battle.

While BTC briefly surged above $84,000 following the release of US CPI data on Wednesday, it failed to hold above key resistance levels.

At press time, Bitcoin is trading at $81,953, down 1.56% on the day, with daily trading volume dropping 22% to under $30 billion.

According to Coinglass data, 24-hour liquidations have spiked to $75 million, with $52 million in long positions being wiped out.

CryptoQuant CEO Ki Young Ju noted that Bitcoin demand appears “stuck” at current levels but emphasized that it is still “too early to call it a bear market.”

Long-term Bitcoin holders continue accumulating

Despite Bitcoin ETF outflows, on-chain data reveals that long-term holders are accumulating more BTC.

Crypto analyst Ali Martinez reported that these investors have added over 131,000 BTC to their wallets in the past month alone, signaling confidence in Bitcoin’s long-term trajectory.

With Bitcoin’s price volatility and ETF outflows persisting, the coming weeks could be crucial in determining whether investors’ diamond hands will hold firm or if selling pressure will intensify.



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Bitcoin Price Steadies—Is a Meaningful Bounce on the Horizon?

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Bitcoin price started a recovery wave above the $80,500 zone. BTC is now rising and might aim for a move above the $84,000 and $85,000 levels.

  • Bitcoin started a decent recovery wave above the $81,000 zone.
  • The price is trading above $81,500 and the 100 hourly Simple moving average.
  • There was a break below a short-term bullish trend line with support at $83,000 on the hourly chart of the BTC/USD pair (data feed from Kraken).
  • The pair could start another increase if it clears the $82,500 and $84,000 levels.

Bitcoin Price Eyes Steady Increase

Bitcoin price remained stable above the $78,000 level. BTC formed a base and recently started a recovery wave above the $80,500 resistance level.

The bulls pushed the price above the $82,000 resistance level. However, the bears were active near the $84,000 resistance zone. A high was formed at $84,200 and the price corrected some gains. There was a move below the $83,000 level.

The price dipped below the 50% Fib retracement level of the upward move from the $76,818 swing low to the $84,200 high. Besides, there was a break below a short-term bullish trend line with support at $83,000 on the hourly chart of the BTC/USD pair.

Bitcoin price is now trading above $81,200 and the 100 hourly Simple moving average. On the upside, immediate resistance is near the $82,450 level. The first key resistance is near the $84,000 level. The next key resistance could be $85,000.

Bitcoin Price
Source: BTCUSD on TradingView.com

A close above the $85,000 resistance might send the price further higher. In the stated case, the price could rise and test the $86,500 resistance level. Any more gains might send the price toward the $88,000 level or even $96,200.

Another Drop In BTC?

If Bitcoin fails to rise above the $82,450 resistance zone, it could start a fresh decline. Immediate support on the downside is near the $80,500 level. The first major support is near the $79,600 level or the 61.8% Fib retracement level of the upward move from the $76,818 swing low to the $84,200 high.

The next support is now near the $78,500 zone. Any more losses might send the price toward the $77,000 support in the near term. The main support sits at $76,500.

Technical indicators:

Hourly MACD – The MACD is now gaining pace in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 50 level.

Major Support Levels – $80,500, followed by $79,600.

Major Resistance Levels – $82,450 and $84,000.



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Ethereum Price Consolidates and Eyes Recovery—Is a Bounce Incoming?

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Ethereum price started a recovery wave above the $1,820 zone. ETH is now consolidating and facing hurdles near the $1,950 resistance.

  • Ethereum started a recovery wave above the $1,820 level.
  • The price is trading below $1,920 and the 100-hourly Simple Moving Average.
  • There is a short-term bearish trend line forming with resistance at $1,900 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair must clear the $1,900 and $1,950 resistance levels to start a decent increase.

Ethereum Price Faces Resistance

Ethereum price formed a base above the $1,760 level and started a recovery wave, like Bitcoin. ETH was able to clear the $1,820 and $1,850 resistance levels.

The bulls pushed the price above the $1,920 level. There was a move above the 23.6% Fib retracement level of the downward wave from the $2,150 swing high to the $1,752 low. However, the bears seem to be active near the $1,950 resistance zone.

Ethereum price is now trading below $1,920 and the 100-hourly Simple Moving Average. On the upside, the price seems to be facing hurdles near the $1,900 level.

There is also a short-term bearish trend line forming with resistance at $1,900 on the hourly chart of ETH/USD. The next key resistance is near the $1,950 level or the 50% Fib retracement level of the downward wave from the $2,150 swing high to the $1,752 low.

Ethereum Price
Source: ETHUSD on TradingView.com

The first major resistance is near the $1,990 level. A clear move above the $1,990 resistance might send the price toward the $2,050 resistance. An upside break above the $2,050 resistance might call for more gains in the coming sessions. In the stated case, Ether could rise toward the $2,120 resistance zone or even $2,250 in the near term.

Another Drop In ETH?

If Ethereum fails to clear the $1,950 resistance, it could start another decline. Initial support on the downside is near the $1,845 level. The first major support sits near the $1,800 zone.

A clear move below the $1,800 support might push the price toward the $1,750 support. Any more losses might send the price toward the $1,720 support level in the near term. The next key support sits at $1,650.

Technical Indicators

Hourly MACDThe MACD for ETH/USD is gaining momentum in the bullish zone.

Hourly RSIThe RSI for ETH/USD is now above the 50 zone.

Major Support Level – $1,800

Major Resistance Level – $1,920



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