Despite the fact that the crypto industry is expected to reach an all-time high of 328.80 million by 2028, the world has witnessed around 57 cryptocurrency hacks in the first quarter of 2023 alone. That’s why the concerned authorities should also know that the growing market also means that the number and ways of scams will also grow with time, and being the regulators and lawmakers it is their responsibility to protect the investors from these scams.
The growth has attracted both eager investors and, unfortunately, malicious actors. This scam didn’t leave the second most popular coin, Ethereum, alone.
Just when this popular cryptocurrency embraced a price surge, the market went crazy over its growth, but more concerningly, the scammers also went crazy by targeting its holders.
As it is rightly said, “A tree that bears good fruit is often stoned.” The surge in price made ETH a good target for scammers as more people are investing in it. The scammers get a larger pool of potential victims. Read on to know what happened in South Korea!
The Scam In South Korea For ETH Holders
You might be curious to know the entire story behind this incident. Well, for you, it is just another scam story, but for those who suffered the loss, it was shocking to see all their hard-earned money go into the hands of the scammers. But it is better to beware of this scam and prevent it!
This recent Ethereum price surge has brought not only excitement but also a surge in a cunning phishing scam targeting South Korean crypto users. Scammers are deploying a scare tactic, sending text messages claiming that unsuspecting users’ Ethereum holdings will be permanently “destroyed” or “burned” if they don’t take immediate action.
The deceptive messages frequently seem to come from a fictitious platform called “Bit-Finance.” The content is designed to create panic, threatening that the user’s ETH will be vaporized on a specific date unless they act quickly.
The message then includes a link, supposedly providing instructions on how to prevent this supposed “burning.”
This is where things got messed up! Clicking this link is the scammer’s true goal. It leads to a cleverly designed phishing website that mimics a legitimate platform. Upon arrival, individuals are asked to input their wallet information and passwords. This information is then stolen by the scammers, giving them full access to the victim’s Ethereum holdings.
The urgency created by the fake deadline for “burning” is a key element of this scam. It pressures users to act impulsively, bypassing common security measures and making them more susceptible to falling for the deception.
How Does The Burning ETH Scam Work?
The seemingly helpful link in the scam messages is actually a cleverly prepared trap. Clicking it takes you to a phishing website designed to look legitimate. These websites often mimic the branding and layout of real cryptocurrency exchanges or wallet platforms.
This deceptive sense of security complicates users’ ability to discern between what is counterfeit and what is authentic.
Once you visit this deceptive website, you will probably encounter a form prompting you to provide your Ethereum wallet information.
This might include your private key or a seed phrase, which are essentially the master passwords to your crypto holdings. Here’s the crucial point: legitimate platforms will never ask you to enter your private key or seed phrase directly on their website.
If you fall for the scam and enter this information, it’s like handing over the keys to your crypto vault. The scammers can then steal your entire Ethereum balance and disappear into the digital shadows.
Don’t be fooled! The sole purpose of this website is to steal your hard-earned cryptocurrency.
Crypto Cybercrime And South Korea
This recent Ethereum scam exemplifies a worrying trend: the rise of cybercrime targeting cryptocurrency in South Korea. According to reports, these crimes have surged a staggering 118% over the past five years, reaching a jaw-dropping 1.02 trillion won (approximately $797.81 million) in 2022.
It’s crucial to emphasize that this is not merely a minor theft problem. North Korean hackers have been linked to large-scale cryptocurrency thefts, reportedly stealing over $2 billion worth of digital assets to fund the North Korean government’s activities. This highlights the serious nature of cybercrime in the crypto space, with stolen funds potentially used for illicit purposes.
Protect Yourself From Crypto Cybercrimes In South Korea
It is important for every crypto holder to know what kinds of cybercrimes are going on in the industry, and it is also important for each one of them to do their due diligence to avoid these scams. Let us tell you about the lesson you should learn from this incident to keep yourself and your cryptocurrencies away from scammers.
The first lesson is to never trust an unknown sender. Always be wary of unsolicited text messages, emails, or social media messages, especially those claiming urgency or offering financial rewards. Legitimate businesses will not push you to make quick decisions using these methods.
The second lesson is to verify the text message directly. If a message claims to be from a specific exchange or platform, don’t click on any embedded links. Visit the official website directly by entering the web address yourself to confirm the information.
The third lesson is that you never share your crypto keys with anyone because legitimate cryptocurrency platforms will never ask you to enter your private key, seed phrase, or wallet password directly on their website. These are your master credentials, and keeping them confidential is like life or death.
The fourth lesson is always to use a secure trading platform or tool. For example, if you are using a trading bot for market analysis, make sure it is well reputable and provides robust security measures. These platforms, like Immediate Xgen AI, use multi-factor authentication and other advanced security features to protect your assets or valuable data from theft or scams.
The last lesson is that there is no such platform as “foolproof” but going for an established player that has been in the market for many years and has a clear track record is a smart choice.
Wrapping Up
A recent phishing scam has targeted Ethereum holders in South Korea, using scare tactics and fake deadlines to steal login credentials. If you don’t want to be the next victim or don’t want other to become their prey, report any suspicious activity to the authorities, and take comfort in knowing that South Korean law enforcement and the US law enforcement is actively working to combat these crypto scams.
Source: Explore
