Fake Elon Musk Cryptocurrency Giveaways Earn Scammers $580,000
Scammers have once again profited by impersonating Elon Musk and his company SpaceX, using their names to carry out fraudulent activities. One of the most common schemes involves fake cryptocurrency giveaways on social media, where users are promised huge returns if they first send a small amount of Bitcoin. For example, in 2018, such a scam on Twitter brought fraudsters over $180,000 in just one day.
Despite the passage of time and the addition of verification badges and clear disclaimers like “I do not give away cryptocurrency!” on the profiles of many celebrities, countless users still fall for these scams. Many people continue to believe that Elon Musk, the Winklevoss twins, Bill Gates, and other famous figures might actually be giving away Bitcoin to anyone who asks. A recent report from Bleeping Computer confirms that this type of activity is on the rise again, and scammers have already made a significant profit.
How the Scam Works
MalwareHunterTeam, a cybersecurity researcher, noticed a spike in fraudulent activity on Twitter. More and more verified accounts are being hacked and then used by cybercriminals to promote fake Elon Musk cryptocurrency giveaways. Examples of these scams can be seen in screenshots shared by researchers.
Typically, these tweets contain links that redirect victims to Medium, where an article advertises a fake Bitcoin giveaway. The scheme is simple: users are asked to send a certain amount of cryptocurrency with the promise that they will receive double the amount in return.
Hacked Accounts and Growing Demand
According to MalwareHunterTeam and BleepingComputer, most of the accounts hacked for these scams had been inactive for a long time. Investigators also point out that after last year’s large-scale Twitter hack, the platform stopped verifying new accounts, making existing verified accounts even more valuable to scammers. As a result, there is now a real hunt for inactive verified accounts.
Scammers’ Profits and Statistics
Data from BleepingComputer and MetaMask shows that scammers are making over $580,000 in Bitcoin from these schemes in just one week. The publication also provides the following statistics on the scammers’ wallets:
- Bitcoin giveaway scams: over $580,000 stolen in one week
- Ethereum giveaway scams: only about $2,700 stolen
While the Bitcoin scams have been highly profitable, similar schemes involving Ethereum have not been as successful, netting criminals just $2,700.
Stay vigilant: Always be cautious of any social media posts or messages promising free cryptocurrency, especially if they ask you to send money first. Even if the account appears to be verified or belongs to a well-known figure, it could be compromised.