Multichain Hack: This Impersonator is Out to Defraud More Users

It looks like hackers are not taking a break at all as just a few hours after the Multichain hack, these bad actors are on the rampage again. This time around, they have taken to Twitter to circulate a phishing link.

Hackers Promoting Emergency FTM Distribution

A fake emergency FTM distribution to users as a result of the Multichain attack has been making rounds on Twitter and it is fast gaining attention. Apart from the huge amount of retweets and views that this post has received, it has also been bookmarked by some Twitter users.

The claims in the disguised tweet read;

“Due to the Multichain hack, Fantom Foundation is issuing an emergency FTM distribution to all users. All users who have interacted with the FTM chain are eligible to claim.”

A suspected phishing link was dropped for all affected users in the hack to follow. It turned out that the hackers are pretending to be Fantom Foundation, the non-profit organization behind the Fantom (FTM) protocol.. 

Multichain Hack Leads to the Loss of $125M

On Thursday, July 6th, Multichain discovered abnormally huge outflows from its platform and decided to suspend operations till they figured out what was wrong. By the end of the day, $125 million worth of Multichain assets had been siphoned and sent to different wallets. The Fantom bridge was the most exploited as $122 million worth of its entire holdings in wBTC, USDC, USDT, and other altcoins were stolen.

As a result, users were advised to suspend all activities on the Multichain protocol and revoke all contract approvals related to Multichain pending when investigations were completed and an explanation offered. Amidst the ongoing investigation, Changpeng ‘CZ’ Zhao, Binance Chief Executive Officer (CEO) took to Twitter to announce to his followers that the leading digital asset service provider was unaffected by the attack and all funds are safe.

Furthermore, he confirmed that Binance has “swapped all assets out and closed deposits a while back” with Multichain. 

Fast forward to today, there is a Twitter page mimicking the Fantom Foundation with promotions that are forcefully supported by Twitter bots. There are also ads related to the current giveaway campaign which has received over 6,000 retweets so far.

These sorts of Twitter hacks are fast becoming a thing in the crypto industry. Users are advised to be vigilant and not click on unknown links.