Over USD 10 mln stolen in 2017 using cryptocurrency social engineering schemes

Monday 16 July 2018 10:15 CET | News

Kaspersky Lab has revealed that cybercriminals were able to steal over USD 10 million from unsuspecting users using fraudulent and “social engineering” schemes in 2017.

The experts noted that cyber-criminals resort to classical phishing techniques to achieve their goal. However, quite often they “go beyond the ‘ordinary’ scenarios we have become familiar with.” Moreover, initial coin offering (ICO) investors are one of the most popular targets of these entities.

Investors are tricked by fake web pages created by cybercriminals that replicate the official ICO websites. Sometimes, these criminals try to gain access to their contacts in order to send a phishing email with a wallet address for investors to send their cryptocurrency to.

The experts pointed out that cyber-criminals have targeted well-known ICO projects in the recent past such as Switcheo ICO, OmaseGo ICO, and Telegram ICO.

Another growing trend is cryptocurrency giveaway scams in which unsuspecting victims are asked to send a small amount of cryptocurrency in exchange for a much larger payout in the future. According to the cybersecurity company, criminals have even used the social media accounts of well-known individuals, and by creating fake accounts or replying to tweets from legitimate users through fake accounts, criminals are able to confuse Twitter users into falling for the scam by clicking on replies from fraudulent accounts.

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Keywords: Kaspersky Lab, cryptocurrency, social engineering, stolen funds, cybersecurity, fraud prevention, ICOs
Countries: World