Crypto Venture Capital Firm’s X Account Hacked to Promote Token Claim Scam

The X (Twitter) account of Blockchain Capital, a venture capital firm focused on cryptocurrencies, was hijacked by scammers aiming to entice users with a fraudulent token claim scheme.

On August 9, several messages emerged from Blockchain Capital’s account, promoting a giveaway of tokens called “BCAP.” These messages guided users to a fraudulent website that imitated the legitimate appearance of the actual Blockchain Capital company’s site.

The attacker’s website connected to the Blockchain Capital X account was deliberately crafted with a URL closely resembling the authentic one, achieved by adding an additional “n.” This malicious site then directed users to link their cryptocurrency wallets as per its instructions.

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However, not too long after, Blockchain Capital successfully regained control of its account and proceeded to remove the deceitful posts.

Copycat Website Utilized By Crypto Phishing Scammers

Phishing scammers employ a prevalent tactic characterized by the creation of copycat websites. These deceptive platforms are meticulously crafted to closely resemble genuine websites, often imitating well-known brands or reputable entities.

The objective behind this strategy is to exploit users’ trust in recognizable appearances. Operating within this framework, scammers construct duplicate websites designed to ensnare victims. This duplicitous approach involves directing users to connect their cryptocurrency wallets, a ploy that phishing scammers capitalize on.

The ultimate goal is to manipulate unsuspecting users into inadvertently initiating malicious transactions, which in turn result in financial losses for the victims. To compound their deceptive tactics, these scammers strategically disable the comment feature on their fraudulent posts.

This calculated move aims to obstruct any potential alerts or cautions that vigilant users might offer to others, which could expose the fraudulent nature of the scheme.

Increase In Crypto Hacks And Fake Giveaways On The Rise

Jeremy Hogan, an advocate for XRP, recently experienced fraudulent posts on his compromised X account. These posts contained links promoting a fake XRP giveaway, which lasted for approximately four days.

In July, Changpeng “CZ” Zhao, the CEO of Binance, with a substantial following of 8.5 million users on X, highlighted the growing cases of phishing attacks. The remarks followed the compromise of Uniswap founder Hayden Adams’ X account.

CZ has also advised against the use of text message-based two-factor authentication and advocated adopting hardware devices as a more secure alternative.

The FBI has also alerted users about a concerning trend where criminals are targeting prominent figures in the crypto industry. The primary goal of these phishing strategies is to deceive users through various tactics.