Cryptocurrency wallet providers are more refined, but so are bad actors. So the battle between security and threats is at a dead end, says the executive at a hardware wallet company.
“It's always going to be a cat and mouse game,” ledger chief experience officer Ian Rogers told Cointelegraph when explaining the constant race between crypto wallet companies adding new security features and hackers who find more sophisticated ways to access victims' wallets.
Rogers said the easiest scams are the most effective, unfortunately, because scammers rely on people who make simple mistakes.
“People give people 24 words of phrases every day, so as long as that happens, they're going to go for low-cost tax,” he said:
“Everyone who wants your 24 words is a criminal.”
Rogers highlighted the common crypto fraud where victims are being fooled, under “Twitter Posts on Crypto on Twitter,” which includes messages such as “DM ME, and I'll help you.”
“The con artists always want you 24 words,” Rogers said. Jason Jiang, Certik's chief business officer, recently told Cointelegraph that recognition of phishing attacks on social media could significantly increase cryptographic security for users.
Sometimes scammers hijack popular industry figure accounts and post malicious links, making it even more difficult for users to spot scams.
In September 2023, Ethereum co-founder Vitalik Buterin's account was compromised, leading to a fake NFT gift for followers to click.
Source: certik
Rogers stressed that this is always the case, just as bad actors aren't confined to code. Scams like fake emails from the “President of Nigeria” have been around for years.
“The cost of an attack is always worth the size of the prize, right?” Rogers said. In 2024, Crypto Hacks rose 15% from 2023, with over $3 billion being stolen.
Related: Hackers steal $8.4 million from RWA's Remolding Protocol Zoth
Meanwhile, pig slaughter fraud has emerged as one of the most widespread threats for crypto investors, with the loss of the Ethereum network spending $5.5 billion in 2024 in a $5.5 billion industry in 200,000 identified lawsuits.
Pig slaughter is a type of phishing scheme that involves long-term, complicated manipulation tactics to trick investors into sending assets to fraudulent crypto addresses.
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