Scammers have taken their coercion tactics to the next level by launching fake cryptocurrency investment apps on Apple and Google app stores, according to a report by cybersecurity firm Sophos. The report reveals that since May, these scammers have managed to sneak seven new fraudulent apps into the official stores, thereby increasing the potential for victims to fall prey to their scams.
One of the tactics employed by the scammers involves telling victims that their crypto accounts have been hacked and that they need to deposit more money to resolve the issue. This new tactic aims to extort additional funds from unsuspecting victims. These scams have become increasingly prevalent, with investment fraud causing the highest reported losses in 2022, totaling a staggering $3.31 billion in the United States alone.
Cryptocurrency-related scams, known as pig butchering, accounted for the majority of these fraudulent activities, with reported losses reaching $2.57 billion in 2021, marking a significant 183% increase from the previous year. These scammers have become experts at concealing their fraudulent apps within seemingly harmless descriptions in the app stores. For instance, one fake app named BerryX claims to be related to reading, but once opened, it presents users with a fake crypto-trading interface.
Sophos X-Ops, the threat research division of Sophos, has been at the forefront of uncovering these scams. Upon further investigation, they discovered the existence of these seven fake cryptocurrency investment apps in the official Google Play and Apple App stores. To combat such fraud, Sophos emphasizes the importance of raising awareness about these deceptive campaigns.
Combating these scams requires a multi-faceted approach, including vigilance from users and the constant monitoring and removal of fake apps by Apple and Google. Users should exercise caution when downloading any investment-related apps and verify the authenticity by conducting thorough research beforehand. By remaining aware of the tactics used by scammers, individuals can better protect themselves from falling victim to these financial frauds.
In conclusion, scammers have escalated their coercion tactics by launching fake cryptocurrency investment apps on the Apple and Google app stores, targeting unsuspecting users. With investment fraud causing significant losses, it is crucial for individuals to stay informed and exercise caution when engaging in crypto-related activities. By being aware of these scams and understanding the warning signs, users can reduce the risk of becoming victims of pig butchering scams.
