Scammers Use Beta App Versions to Trick Users

The FBI has issued a warning about a new tactic used by cybercriminals who promote “beta versions” of malicious apps, supposedly designed for cryptocurrency investments. In reality, these apps steal cryptocurrency from unsuspecting users.

According to Bleeping Computer, hackers use beta versions to bypass app store security checks. Journalists explain that beta apps do not undergo thorough code reviews and are only superficially examined for security risks. Unfortunately, these limited checks are not enough to detect hidden malicious code, which can start harmful activities soon after the app is installed. For example, such apps may attempt to steal personal information, access victims’ accounts, or take control of their devices.

Interestingly, Google representatives told the publication that apps undergoing open beta testing and available on Google Play go through the same review process as other apps.

The FBI reports that these apps typically imitate tools for cryptocurrency investment and digital asset management. They often prompt users to enter credentials for existing accounts, deposit funds for investment, and more.

Victims usually encounter these apps through social engineering tactics involving phishing or “romance” scams.

Previous Warnings and Notable Campaigns

It’s worth noting that Sophos highlighted this issue as early as March 2022, warning about scammers abusing Apple TestFlight—a platform that helps developers distribute beta versions of iOS apps for testing.

In a later report, Sophos experts described a malicious campaign called CryptoRom, which disguised itself as a cryptocurrency investment app. Hackers would first upload a seemingly legitimate app for use with TestFlight. After receiving approval, they would change the app’s URL to point to a malicious server.

Fake Apps: How to Protect Yourself

With the rise in such attacks, the FBI advises users to always verify whether an app publisher is trustworthy by carefully reading reviews and avoiding apps with either very few or an unusually high number of downloads combined with few reviews.

Users should also watch for signs such as rapid battery drain, increased data usage, sudden pop-up ads, reduced device performance, and overheating—these can all indicate malicious activity.