Multichain attack triggers Twitter phishing scheme for FTM distribution

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Hackers continue their relentless activities, displaying no signs of slowing down. Shortly after the Multichain hack, these malicious individuals once again launched an attack. Their latest tactic involves spreading a phishing link through Twitter.

A fraudulent distribution of Fantom (FTM) to users, falsely linked to the Multichain attack, is rapidly spreading on Twitter, attracting significant attention. This post has garnered numerous retweets, views and even bookmarks from Twitter users.

In the disguised tweet, the malicious individuals stated thus; 

“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 phishing link was included in the tweet and shared with the affected users of the hack, leading them to believe it is associated with Fantom Foundation, the non-profit organization responsible for the Fantom (FTM) protocol.

On July 6th, Multichain encountered an alarming situation when significant outflows were detected on its platform. In response, Multichain suspended operations to investigate the issue. By the end of the day, approximately $125 million worth of Multichain assets had been illicitly transferred to various wallets. The most targeted asset was the Fantom bridge, with approximately $122 million worth of wBTC, USDC, USDT and other altcoins being stolen from its holdings.

In light of these events, users were strongly recommended to halt all activities on the Multichain protocol and revoke any contract approvals associated with Multichain. This precautionary measure was advised until investigations were concluded and a comprehensive explanation was provided.

Related: Circle, Tether freezes over $65M in assets transferred from Multichain

During the ongoing investigation, Changpeng ‘CZ’ Zhao, the CEO of Binance, utilized Twitter to inform his followers that the prominent digital asset service provider remained unharmed by the attack, reassuring them that all funds were secure. Additionally, he verified that Binance had already executed an asset swap and ceased accepting deposits from Multichain some time ago.

Instances of Twitter hacks like these are increasingly prevalent within the crypto industry. It is crucial for users to exercise caution and refrain from clicking on unfamiliar links.

Magazine: Should crypto projects ever negotiate with hackers? Probably

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