Crypto Phishing Scams Drain Nearly $300 Million from 324,000 Victims in 2023
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Scam Sniffer, a security platform, reveals that phishing sites can display paid ads on Google and X, circumventing their guidelines.
Phishing scams in 2023 claimed over 324,000 victims among crypto users, resulting in approximately $295 million in digital asset losses to wallet drainers.
Scam Sniffer’s “2023 Wallet Drainers Report” scrutinized the patterns of drainers employed in these crypto phishing schemes, emphasizing the persistent rise in phishing activities throughout the year.
Furthermore, Scam Sniffer noted that when drainers cease operations, “phishing gangs” effortlessly relocate their activities, given the abundance of platforms catering to scammers. On March 2, the notorious Monkey Drainer, known for notable phishing exploits, shuttered its operations.
However, prior to closure, it recommended an alternative scam service to its criminal customer base. Scam Sniffer approximated that Monkey Drainer had absconded with approximately $16 million in digital assets before discontinuation.
Likewise, Inferno Drainer ceased operations in 2023, having accumulated around $81 million in stolen digital assets. Scam Sniffer reports that Angel Drainer appears to have assumed control following the closure of Inferno Drainer.
At the same time, Scam Sniffer conducted an analysis of the methods through which phishing sites attract traffic. One strategy employed by crypto thieves involves hacking official Discord and X (formerly Twitter) accounts of projects, subsequently disseminating phishing links through posts.
Phishing websites attract organic traffic by orchestrating fraudulent airdrops of crypto assets or nonfungible tokens (NFTs). They exploit expired Discord links and engage in spam comments and mentions on X.
Moreover, Scam Sniffer notes that scammers have successfully evaded Google’s and X’s advertising guidelines, allowing phishing sites to display paid ads on Google Search and Twitter.
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