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Hunting Huobi, Blockchain.Info, and MyEtherWallet Scams

When you realize you’ve been duped, it’s an awful feeling, but resist the urge to hide in a gloomy area and instead notify your bank right away. Once a scam has been reported, the bank that operates the account to which your money was moved should be notified, and any remaining funds can be blocked.

Regrettably, the majority of scam victims will discover that their savings have vanished. This is where the fight to reclaim part or all of your money from your bank starts. Completely incorrectly, getting a refund from your bank is still a bit of a lottery. You can, however, significantly boost your chances.

Scams with Huobi aren’t as common as other types of scams, but they’re nonetheless risky. The headlines on April 24th, 2018, read, “Myetherwallet hijacked.” A phishing attack had been carried out by a con artist.

This is a form of hack in which visitors believe they are seeing the official NEW website but are actually being diverted to a phony site. For centralized services like MEW, such a phishing attack is viable. 

It’s easier to attack because there’s only one central website/service. An employee of Blockchain.com may contact you through email, phone, or social media.

We would never call you or contact you through social media, and any email you get from us would come from an official Blockchain.com email address that ended in blockchain.com or blockchain.info.

BlockChain

In 2021, we witnessed a 50% year-over-year increase in crypto-related scams to over 500,000. And looking ahead we anticipate a more than 75% increase in 2021

FTC Gov. Report 2021

If you are someone who’s interested in Cryptocurrency, then you’re definitely at the right place. We can give you the best practices in identifying red flags as well as help you in recovering your stolen money from scammers!

Table of Contents

Hunting Huobi Scams

Hunting Huobi

Token offers (also known as Initial Coin Offerings, or ICOs) are a mechanism for crypto projects to obtain funds and enable investors to profit by purchasing new project tokens before their market prices rise. 

While many token offerings were legitimate, and many companies failed due to straightforward business or economic reasons, token offering frauds became common from 2014 onwards, as scammers exploited the crypto euphoria, a lack of understanding of how crypto worked, and human faults like greed and fear.

Since Huobi introduced its Huobi Prime token selling platform in 2017, token offering frauds have decreased considerably. This is due partly to increased public awareness of how cryptocurrencies work, as well as Huobi Prime’s simplified and verified procedure for evaluating new projects before allowing them on the platform.

Even though Huobi Prime investors can rest safe, numerous frauds still occur outside of Huobi’s ecosystem, and knowledgeable investors must learn to recognize and avoid them immediately. The following are some of the most common token offering scams:

bitcoin on laptop

Airdrop Scam

The delivery of free tokens to investors in exchange for the adoption of a new platform, the purchase of additional tokens, or the locking in of existing tokens is referred to as an airdrop. 

A project will typically release a percentage of its token supply to investors, allowing the token project’s owners to reach a large audience under the guise of giving away free bitcoin. The fraud works by convincing airdrop participants to provide personal information, private keys, or buy tokens in order to receive more airdrops.

The airdropped tokens may be received by interested parties, but they may have little or very little value in comparison to the information gained by the scammers. The OmiseGo airdrop scam is one of the biggest in cryptocurrency history.

The airdrop of OmiseGo (OMG) was intended to take place in September 2017, but it was postponed. Scammers took advantage of the situation by creating phony Twitter handles, Telegram chat groups, Forum discussions, and websites to dupe unwary users into revealing their private keys. More than 300 Ether was alleged to have been stolen by scammers.

android scam

Exit Scam

When an insider raises funding for a project and then closes or departs the enterprise with that cash, this is known as an exit scam. 

As a result, the investor is left with a bag of tokens that have no intrinsic value. This can happen with either a token initiative or a fund-raising exchange, as in the instance of Thodex, where the creator, Ozer, vanished with the funds of investors.

A Huobi airdrop site was recently uncovered that used a different MyEtherWallet phishing kit. It requested your public address and checked if you had Huobi Airdrop tokens (which are actually fake tokens related to another Huobi scam below). Even if you provide an address that does not have the requisite tokens, the phishing kit will still be found in the server response. 

When you enter your public address, it connects to their server and displays a new HTML document, which is a HuobiGlobal phishing site with a bogus MyEtherWallet. This HTML document includes a link to a PHP script that I found interesting.

Pump & Dump Scams

Investors trade their coins for the new token during a token offering or token sale. In their whitepaper, the project owner or team will state how many tokens will be offered for sale, how many will be held away for future development, and so on.

Phishing Scams

Even today, many investors fall prey to phishing scams. Scammers pose as legitimate companies or reliable sources, leading the victim to believe that his or her account has been hacked. Following that, the victim will be directed to a phony website that seems identical to the legitimate company. 

The victim is then encouraged to change important information such as passwords and two-factor authentication (2FA), after which the fraudster can gain access to the victim’s account and conduct fraudulent transactions. According to reports, such scams have increased by over 1000 percent, costing investors almost $80 million.

Do you suspect that someone had scammed you?

If you have any suspicion of a scam or phishing attack, then you can rely on TheClaimers to help you with protection, mitigation, and fund recovery. You will feel safe knowing that experts with years of experience will be guiding you!

MyEtherWallet Scams

This MyEtherWallet kit saves your private key in a Cookie and then sends it to a PHP script. If you enter your private key, your account will be hacked, and you will lose your money. 

Someone had discovered an ERC20 coin promoting a website that had been airdropped to 20,000 Ethereum addresses. This is a way to promote the blockchain ecosystem if you have some money.

When we examine the address funding the transactions (through 19 proxy addresses (i.e., 0x0b88a083dc7b8ac2a84eba02e4acb2e5f2d3063c) and contract creation from 0x15ccc4ab2cfdb27fc4818bf481f7ed0352d8c6b3), we can observe that the bad actor has:

  • Between blocks 6,708,041 and 7,249,374 there were 18 contracts created.
  • Except for one contract address, which is only a test, all of the contract addresses promote huobiairdrop.com.
  • A token promoting huobiairdrop.com was issued to 62,132 addresses.

For centralized services like MEW, a phishing attack is viable. It’s easier to attack because there’s only one central website/service. And the hackers’ method was simple.

They constructed a website that looked exactly like MEW’s, pointed visitors to it, and when they logged in and did their thing, the phony site collected their information and then deducted their ETH. ETH worth $150,000 was stolen, according to Etherscan.io, a prominent blockchain explorer. The funds were then moved through the attacker’s wallets until they vanished.

MyEtherWallet

MEW, on the other hand, stated that the problem was not theirs. They said that such phishing attacks are common and that the fault was with their domain supplier.

Who allowed their Domain Name System to be hacked around 7:15 a.m. EST. Because of this small oversight, the attacker was able to reroute visitors to a phishing site instead of myetherwallet.com. In December 2017, another MyEtherWallet hack, or rather, MEW fraud, occurred.

Throughout the month, a downloaded app that appeared and behaved like a real MEW app was available in the Apple app store. It was a ruse. Several users had downloaded the app and fed it with their actual login information before Apple intervened and took it down.

This demonstrates that even top-tier organizations like Apple, which employ highly clever individuals, can be deceived. After all, Apple’s App Store has a more stringent vetting process than the majority of its competitors.

Yet, here is an example of a scammer deceiving Apple, building a successful phishing app, and even purchasing an ad on the Apple App Store. This means that, despite the fact that MEW was ‘hacked,’ Apple is solely responsible.

Scams about Crypto appear year-round. To prevent this kind of scam you can contact us for support!

Blockchain.info Scams

It is your obligation, like with any financial product, to ensure that you are not putting yourself in danger of fraud or phishing attempts. 

Scams and phishing assaults are two frequent types of fraud that aim to deceive you and steal your money. The most important way to protect yourself when using Blockchain.com’s Wallet and the platform is to never share your Secret Private Key Recovery Phrase (also known as a backup seed).

Your Private Key, your password, or your Wallet ID, and to enable Two-Factor Authentication (2FA) as an extra layer of security on your account.

This information or access to your wallet should never be given to anyone, even if they claim to work with Blockchain.com. In the crypto industry, scams and phishing assaults take numerous forms. Here’s a rundown of some of the most typical con games to avoid:

impersonator-hacker

Impersonation

Someone posing as a Blockchain.com employee may send you emails, phone calls, or social media messages. We would never phone you or contact you via social media, and any email you receive from us would be from a Blockchain.com email address that ended in blockchain.com or blockchain.info. 

We will never ask for your login information through any means of communication. If you have any worries about the request’s legitimacy, you can open a Support Center Ticket here.

Phishing Emails or Websites

Be cautious when you receive an email that you did not initiate. If you receive an email asking you to visit a website and change your password, only do so if you have specifically requested it. 

In many of these frauds, a malevolent third party records your login information and steals your funds. Employees from Blockchain.com will never ask for your Secret Private Key or Recovery Phrase. If someone asks you for this information, please report it here in our Support Center.

spam email

Fake Investment Proposals

You may be asked to “pay a fee” or “pay a tax” in order for a larger sum of money to be released to you. Official authorities, such as the SEC or other institutions, are frequently mentioned by scammers.

Fraudsters can even fabricate official-looking documents or false identification cards. Please be aware that Blockchain.com would never start contact regarding the payment of fees or taxes in order to gain access to funds in a bitcoin wallet.

If a person claiming to be a part of Blockchain.com approaches you and demands payment of taxes, presume they are scammers and report them to our Support Center here.

Fake Refunds

We do not offer refund services for cash that has been lost on third-party platforms. If someone requests payment to recover/refund lost or previously scammed monies from third-party platforms or old forgotten wallets, it is almost certainly a scam. We would never ask for payment in exchange for such a service.

Love Scams

Romance Scam

This is a fraudulent activity that involves impersonating an eventual partner or promising a fictitious relationship in order to influence people in order to extract finances or sensitive data, such as login credentials, recovery phrases, and so on.

When you come across a new person on social networking, please exercise extreme caution.

Money Transfers, Deposits, and Withdrawals

Never make money transfers on behalf of another person, either for them or by providing them with your login credentials.

Giving someone access to your account is not only a potential breach of Money Laundering and Terrorist Financing legislation, but it also puts your own cash in danger.

Clones of Platforms

Modified URLs such as b1ockchain.com, bl0ckchain.com, blockchain.io, and others should be avoided. To access your account, make sure you’re using our official website and the correct URL.

dollar on fire

Other frauds and phishing assaults include blackmail, phony exchanges, phony airdrops, malware that can influence the Clipboard, an XLM transaction with a malicious URL as MEMO, Sim Swap, and “pump and dump” schemes, to name a few.

Key Takeaways!

Any email from us that ends in something other than blockchain.com or blockchain.info is most likely malicious. It’s most certainly a fraud if you get a call from someone pretending to be a Blockchain employee. 

We would never call someone on the phone. If an email was delivered to your spam/junk folder, please check the email’s headers to see who the real sender is. Do not open links or files sent to you in emails or from unknown sources in general.

Above all, the most important lesson to learn is to be skeptical. It may appear simple, but it is crucial. It can sometimes be tough to maintain a positive attitude when confronted with apparently impossible chances.

do you need help?

A lot of those who contact us have questions and concerns about their personal and business data being compromised. We aim to arm you with the legal and technical know-how in the fight against scams. Also, we will be able to refer you to top scam recovery agencies.

Please fill up the form. Rest assured that our support team will get in touch with you

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