Binance’s New Security Feature: A Daring Dance with SMS Phishing Scams! 💃📱

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Ah, dear reader, it appears that Binance, in its infinite wisdom, has decided to unveil a new security feature, a veritable knight in shining armor, to assist its users in the noble quest of detecting SMS phishing scams. One can only hope it is more effective than a feather in a tempest!

This grand initiative springs forth from the murky depths of concern, particularly after the unfortunate escapade of one Joe Zhou, a Web3 enthusiast who found himself ensnared in the web of deceit spun by a cunning scammer. The villain, masquerading as a Binance representative, sent forth a missive claiming that Mr. Zhou’s account was being accessed from the shadowy realms of North Korea. How delightfully dramatic! 🎭

In a moment of sheer folly, our dear Zhou was persuaded to create a SafePal wallet, a decision he would soon regret as he transferred his hard-earned funds into this digital abyss. Alas, suspicion crept in like a thief in the night, and upon consulting a legitimate Binance contact, he discovered the bitter truth: he had been duped! As he endeavored to reclaim his assets, the nefarious scammer, like a magician, withdrew even more funds before Zhou’s transaction was thwarted by the ever-dreaded gas fees. Oh, the irony! 💸

But fear not, for Zhou’s plight is but a single note in the symphony of phishing attacks that have recently graced the headlines. Just a week prior, on the 18th of February, the Cyprus Police’s cybercrime division issued a warning about the rising tide of SMS fraud schemes. Scammers, those charming rogues, have been impersonating Binance officials, sending messages that would make even the most gullible of users reveal their login credentials. Once in possession of such treasures, the scammers waltz away with the funds, leaving behind only the echoes of their laughter.

And let us not forget the other illustrious crypto platforms that have also fallen prey to these dastardly schemes. Between December 2024 and January 2025, Coinbase users suffered grievous losses, with a staggering $65 million pilfered through the art of social engineering. The ever-watchful blockchain investigator, ZachXBT, reported this shocking figure, revealing the myriad of tactics employed by these digital brigands—phishing emails, counterfeit customer service calls, and websites that would make even the most seasoned con artist blush.

2/ Myself and @tanuki42_ spent time reviewing Coinbase withdrawals and gathering data from my DMs for high confidence thefts on various chains.

Below is a table we created which shows $65M stolen from Coinbase users in Dec 2024 – Jan 2025.

Our number is likely much lower than…

— ZachXBT (@zachxbt) February 3, 2025

The scale of these phishing-related losses is nothing short of staggering. According to a report by CertiK, a total of $2.36 billion was lost across 760 on-chain security incidents in 2024, a figure that represents a 31.61% increase from the previous year. Phishing attacks alone accounted for a jaw-dropping $1.05 billion of these losses, nearly half of the total amount. The second quarter of 2024 was particularly devastating, with 67 phishing attacks resulting in losses of $433.7 million. One must wonder if the scammers have taken up a new profession as financial advisors! 🤑

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2025-02-26 17:02