Uphold Warns Of Fake Phishing Scam Seeking Customers’ Private Keys

Andrew Throuvalas
Last updated: | 1 min read
Trezor Initiates Investigation as Phishing Campaign Targets Crypto Hardware Wallet Users
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Crypto exchange Uphold has warned customers that phishing scam emails posing as the company are trying to fleece users of the keys to their Bitcoin wallets.

“An SMS phishing message was sent to a small number of Uphold customers yesterday encouraging them to link self-custody wallets to a fake Uphold website in return for a crypto loyalty payment,” wrote the real Uphold company in an email to clients on Wednesday.

The company stressed that the request was a scam and that Uphold would never ask customers to send money to a certain address.

Phishing scammers are incredibly active in the crypto sector: according to Chainalysis, $374 million is suspected to have been stolen through approval phishing scams in 2023.

Such scams involve tricking victims into signing a blockchain transaction that gives hackers the ability to move certain tokens within the victim’s crypto wallet. Some victims have lost tens of millions to such scams.

Phishing Scams In Crypto

More standard phishing scams involve tricking victims into sending scammers cryptocurrency through regular transactions, including through fake investment opportunities, impersonations, and romance scams.

The latter, otherwise known as “pig butchering scams,” stole over $700 million from victims in 2022 across crypto and fiat, according to the FBI’s 2022 IC3 Report. Meanwhile, Americans reported $2.5 billion in losses to crypto investment scams of all kinds.

Crypto can make a strong vehicle for such scams since transactions in cryptocurrencies are peer-to-peer and irreversible. An intermediary cannot cancel the transaction once made, and scammers are often difficult to identify.

Earlier this week, a scammer hacked into Bitcoin investor MicroStrategy’s X account, successfully stealing $440,000 in ETH from victims in a fake Ethereum token launch announcement.