Warning: Avoid These 5 Insidious Crypto Scams Targeting Users

Staying safe in the cryptocurrency world is crucial. As the market evolves, so do the tactics of those looking to steal your digital assets. Understanding common **crypto scams** is your first line of defense against malicious actors.

The Rise of Psychologically Manipulative Crypto Scams

According to blockchain security firm SlowMist, while hacking techniques haven’t seen major technical leaps recently, the sophistication of **crypto scams** has increased dramatically. Their Q2 MistTrack Stolen Fund Analysis report highlights a significant rise in “psychologically manipulative” attacks. Attackers are shifting from purely on-chain exploits to off-chain entry points, targeting areas like browser extensions, social media, and user behavior.

Insidious Browser Extension Scams to Watch

One particularly cunning method involves malicious browser extensions. These extensions often masquerade as helpful tools, like security plugins claiming to detect phishing links. However, extensions such as the reported “Osiris” Chrome extension do the opposite. Instead of protecting you, they intercept file downloads (.exe, .dmg, .zip) and replace legitimate software with malicious programs.

Attackers even guide users to trusted websites like Notion or Zoom. When a user attempts to download software from these official sources, the downloaded file is already compromised, appearing to come from the legitimate site. These malicious programs then collect sensitive information from your computer, including browser data and credentials, potentially exposing seed phrases or private keys. This highlights a significant threat to your overall **crypto security**.

Beware of Tampered Hardware Wallet Scams

Another method preys on the trust users place in physical security devices. Scammers trick crypto investors into acquiring tampered hardware wallets. This can happen through fake “lottery wins” offering free devices or by convincing users their current wallet is compromised and they need a new one.

SlowMist reported one victim losing $6.5 million after buying a tampered cold wallet advertised on social media. In another instance, an attacker sold a victim a hardware wallet that was pre-activated, allowing the attacker to immediately drain funds once the victim transferred crypto. These **hardware wallet scams** underscore the importance of buying devices only from official, trusted sources.

Phishing Attacks Using Fake Revoker Websites

Phishing remains a prevalent threat, but attackers are creating highly convincing clones of legitimate tools. SlowMist was contacted by a user who couldn’t revoke a risky authorization using a website that was a near-perfect clone of the popular Revoke Cash interface. This fake site prompted users to input their private key to “check for risky signatures.”

Analysis revealed the site used EmailJS to send sensitive user input, including private keys and addresses, directly to an attacker’s email. SlowMist found that **phishing attacks**, fraud, and private key leaks were leading causes of theft in Q2. These attacks succeed not through technical complexity, but by exploiting urgency and trust, triggering panic with phrases like “risky signature detected” to manipulate users into hasty actions like sharing sensitive data.

Exploiting Upgrades and Social Media for Scams

Scammers also adapt to industry developments, exploiting events like Ethereum’s Pectra upgrade by creating phishing techniques related to features like EIP-7702. Furthermore, social media platforms remain fertile ground for scams. Attackers gain control of accounts, such as on WeChat, by exploiting recovery systems. They then impersonate the real owner to scam contacts, for example, by offering discounted Tether (USDT).

Protecting Your Crypto Assets

SlowMist’s Q2 data, based on 429 stolen fund reports, shows the scale of the problem, though they successfully froze and recovered about $12 million for 11 victims. Protecting yourself requires vigilance:

• Be skeptical of unsolicited offers (free wallets, lottery wins).
• Only download software and browser extensions from official sources.
• Verify website URLs carefully, especially for tools managing wallet permissions.
• Never share your private key or seed phrase with anyone or any website.
• Use hardware wallets purchased directly from the manufacturer.
• Be wary of deals or requests from contacts on social media, especially if they seem unusual.

The landscape of **crypto security** is constantly changing. While the underlying hacking methods may not always be new, the ways they are delivered are becoming more sophisticated and psychologically targeted. Staying informed about the latest **crypto scams** and adopting rigorous security practices are essential steps to safeguard your digital wealth.