Telegram Bot Scams Cost Crypto Users Millions in Stolen Funds

Scam Sniffer has warned of a rising threat to cryptocurrency users through malicious Telegram verification bots.

In a December 10 report, they highlighted these scams use social engineering to compromise users’ wallets. Scammers impersonate popular crypto influencers on X (formerly Twitter) and lure users into Telegram groups with promises of exclusive investment opportunities.

Once users join these groups, they are told to verify their accounts through a bot called “OfficiaISafeguardBot”. This fake bot injects malicious PowerShell code into users’ devices and allows hackers to install malware that steals private keys and drains cryptocurrency wallets. Scam Sniffer has seen many cases of wallet theft from this scam.

Social Engineering and Fake Accounts on the Rise

Scammers are using a “scam-as-a-service” model to target users. Scam Sniffer’s data shows impersonation accounts on X have skyrocketed, with over 300 fake accounts created daily in December, almost double November’s numbers. These accounts promote fraudulent tokens and malicious links and are resulting in big losses.

Key points:

• Use of Telegram bots to create FOMO.

• Impersonation of influencers to gain trust.

• Infrastructure evolving to deploy more complex attacks.

At least 2 victims have lost over $3 million to these scams.

Broader Cybersecurity Concerns in Web3

The Telegram scams are part of a bigger web of cybercrime targeting Web3 platforms. Cado Security Labs recently exposed fake meeting apps to steal login credentials and Radiant Capital was hacked for $50 million by North Korean actors.

As phishing attacks get more complex, especially during high online activity periods like the holiday season, experts advise crypto users to be cautious. Scam Sniffer and other security firms recommend not to join unsolicited Telegram groups, verify links independently and use hardware wallets for storage.

Key Takeaways:

• Malware Scams: Fake Telegram bots inject malware, compromising crypto wallets and stealing millions.

• Impersonation Surge: Over 300 fake accounts promote scams daily, nearly doubling last month’s figures.

• Global Impact: Recent hacks, including Radiant Capital’s $50M loss, highlight increasing threats to Web3 platforms.

Staying informed and cautious is critical as these threats evolve.