Binance Co-founder Urges Elon Musk to Tackle Cryptocurrency Scams on X

Binance co-founder Yi He has raised concerns about the proliferation of cryptocurrency scams on the social media platform X, owned by Elon Musk.

Taking to the app recently , Yi He questioned whether Musk would take action to tackle the issue.

Yi He’s apprehension stemmed from a specific impersonation scam occurring on the X platform.

She shared images of accounts that were clear imitations of her X handle (@heyibinance) and her real name.

In one instance of the scam, users were directed to click on a link promising access to Binance-backed memecoins.

Yi He clarified that no such coins had been issued and that clicking the link could result in the loss of funds.

“I have not issued any new MEMEcoins. Clicking on the link will result in your money being stolen,” she wrote.

“Many people were tricked by this hacker link and lost a significant amount of money today. Is there any way to address this issue?”

Crypto Scams Increase on X

Cryptocurrency scams have thrived on X, with analysts attributing a significant portion of all crypto scams to scammers on the platform.

Scam Sniffer, a web3 anti-scam company present on X, conducted an analysis revealing that nearly $50 million is lost each month due to account impersonation on X.com.

While these problems existed prior to Elon Musk’s involvement in the platform, the confusion surrounding the new owner’s controversial paid verification service may contribute to the continued vulnerability of the general public to impersonation scams.

The service allows anyone with a smartphone to register and receive verification, potentially adding to the challenges faced in distinguishing genuine accounts from fraudulent ones.

Although Musk has indicated his intention to address “bot” and “spam” issues surrounding the platform, it remains unclear whether he has specifically addressed cryptocurrency scams.

As of now, Musk has not responded to Yi He’s post on X.com.

X Accounts Hacked to Promote Scams

Since the beginning of 2024, several X accounts of major companies and crypto influencers fell victim to scams, to lure more customers into fake promotions.

In January, the US regulator SEC’s X account was hacked to issue a fake announcement on of Bitcoin ETFs approvals.

Later, the X safety team attributed the breach to SIM-swapping attack linked to an official phone number of @SECGov account. The latest Microsoft account hack is similar to the previous ones and experts believe it to be a SIM-swap attack.

Similarly, crypto scammers targeted accounts for Netgear and Hyundai MEA . They pushed scams designed to infect potential victims with cryptocurrency wallet drainer malware.

Furthermore, in January, cryptocurrency data aggregator CoinGecko experienced a security breach when their account fell victim to a phishing attack.

During a brief period on January 10 , a phishing scam link was posted on their X account, falsely informing users of a CoinGecko token airdrop.

The hackers promoted a new cryptocurrency called GCKO in a fraudulent post, claiming it could be used to pay for API services like the cryptocurrency ANKR.