• Bad actors are targeting the investors of crypto exchange FTX by offering to return their lost funds.
• The exchange issued an alert to its community warning them not to fall for this scam and not to share any account passwords or payment information with anyone.
• Scammers have been trying various methods such as fake videos and websites impersonating the exchange’s founder in order to deceive users.
Scam Targeting FTX Investors
Bad actors are attracted to the blockchain space due to its anonymous nature; these individuals seek to scam and steal funds from investors. This time, a group of fraudsters is targeting the already embattled investors of the bankrupt crypto exchange FTX. To target these potential victims, scammers offer the return of their lost funds.
FTX Alerts Its Community
On Friday, the troubled exchange issued an alert to prevent its community from being a victim of this scam. The new attack vector to bait FTX customers impersonates the platform. Bad actors ask for a payment as a fee to allegedly transfer funds or require an account password to trick their victims. While addressing its community in a recent tweet, the FTX team confirmed that the exchange’s debaters and agents never ask for a fee or an account’s sensitive information.
Previous Attempts By Fraudsters
It was not the first attempt by fraudsters to target FTX customers. Since the Sam Bakman-Fried-led exchange collapsed in November, wiping out billions of dollars, scammers got new opportunities to deceive debaters by promising them to return their funds. Likewise, days after the FTX filed for bankruptcy in November, a fake video popped up on Twitter impersonating the exchange’s founder, Sam Bakman-Fried (SBF). Fraudsters faked SBF asking users to go to an unsafe website to “double their crypto funds.” It looked real as bad actors used a verified account on Twitter. Furthermore, a month after FTX’s downfall, Oregon Division of Finance and Securities released a statement warning investors about scams related with returning assets from bankrupt businesses such as FTX .
Bitcoin Price Stands Above $23K
Bitcoin’s price currently stands above $23,500 in the daily chart | Source: BTCUSD price chart from TradingView.com Crypto Scams Targeting FTX Customers Are On The Rise It was not the first attempt by fraudsters
Conclusion
In conclusion it is important for investors be aware of fraudulent activities that are targeting them in light of recent scandals such as those involving FTC Exchange; they should always double check inquiries they receive before providing any personal information or making any payments
