Recently, bankrupt crypto exchange firm FTX warned its investors of an ongoing scam as fraudsters promised users to return their assets by illegally gaining their account details.
The downfall of the crypto exchange giant FTX has delivered shockwaves to crypto investors, wiping billions of dollars from the crypto market in the last three months. Moreover, several scammers are finding this opportunity to trick users by providing fake promises to FTX debtors. Recently, FTX has fallen on hard times as it has sounded the alarm on a wave of scams and frauds that are targeting its customers. As the exchange navigates its financial difficulties, scammers are using the situation to their advantage, attempting to swindle unsuspecting customers out of their assets.
Beware Of FTX Phishing Scammers
According to the latest tweet, FTX warned its customers about a growing trend of scammers who are impersonating the platform and using fake asset recovery offers to trick users into sending their funds. This type of fraud is becoming increasingly common as more people invest in digital assets, and scammers look for ways to take advantage of their trust.
The scammers use a variety of tactics, including creating fake social media accounts, sending fraudulent emails, and even impersonating customer support representatives, to deceive users into thinking they can recover lost assets. They then ask for sensitive information such as login credentials or access to the user’s funds, promising to return them in exchange for a fee. FTX stated, “We are aware of active third-party scams and frauds seeking to take advantage of FTX customers.”
Bankrupt FTX Clarifies Its Users
FTX has emphasized that it will never ask for personal information or access to users’ funds and that all communication from the platform will come from verified email addresses and social media accounts. However, the exchange is urging its customers to be vigilant and to always verify the authenticity of any communication before acting on it.
FTX is committed to ensuring the security of its customers’ assets. The company has stated that none of its debtors or agents will request fees or account passwords in relation to the return of customer assets. To verify the legitimacy of any communication, FTX advises potential victims to reach out to the official FTX debtors’ email addresses. This precautionary measure is taken to maintain the safety of customers’ assets.
In December, the Oregon Division of Financial Regulation issued a warning about scammers. They said that these scammers are trying to take advantage of people who have already been hurt and are trying to get their money back. The scammers made a fake website that looked like it was run by the U.S. Department of State. The website said they were helping people get their assets back from FTX, but they were really asking for people’s account information. The Division of Financial Regulation warned people to be careful and not give out their information to anyone they don’t trust.
In November, a video appeared online that showed the founder of FTX, Sam Bankman-Fried, saying that customers could get double their money back in cryptocurrency. The video was fake, but it looked like it was real because it was verified by Sam’s Twitter account. The fake video convinced people to visit a website that was not safe. The website said that if people sent their cryptocurrency to the fraudsters, they would get double the amount back. But this was just a trick to steal people’s money.
FTX is not the only platform that has been targeted by scammers. The rise of digital assets has made it easier for fraudsters to impersonate legitimate companies and trick users into sending them their funds.