Elon Musk can’t catch a break these days.
The CEO is now facing a U.S. SEC inquiry into an eight-word tweet stating that he’s considering taking the company private.
Now, apparently he’s offering free Bitcoin and Ethereum to his 22.5 million Twitter followers.
If it were true, that’d be awfully nice of him
The co-founder of Tesla has now become the victim of growing hacking attacks on Twitter for the second time. In February 2018, his account tweeted, “I have decided to give out 4000 ETH to my fans. Just send anywhere between 0.3 to 0.7 ETH to the address below and receive 3 to 7 ETH back to your address. But hurry as it is limited to the first 200 participants only.”
People fell for it. Then, just this month, the Musk account promised his follows free Bitcoin and ETH. Again, some fell for it. While it leaves us questioning the naivety of some people, there’s a bigger question.
How did a fake Musk create a credible-looking site with Twitter-verified status?
Elon Musk is Just one of Many
The accounts of other high-profile celebrities, including Ethereum co-founder, Vitalik Buterin, and cybersecurity expert John McAfee, are being used by scammers, too. In fact, a fake John McAfee twitter account once tweeted, “By the way: I’m giving away 20 BTC to my followers. Just send 0.02 BTC to the address below and I’ll send you 0.20 BTC back through the same address you used in this transaction.”
Sadly, some people fell for it hook, line and sinker.
Investors Must Remain Cautious
Cyberattacks and scams cost investors millions of dollars. Scam artists use phishing techniques, pump and dump schemes, ICO fraud, even Ponzi schemes.
The rate of cryptocurrency scams have only increased.
In 2017 alone, investors reportedly lost over $490 million to crypto-related scams.
According to the US Federal Trade Commission (FTC), investors lost nearly $532 million in in the first two months of 2018.
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