Crypto Exchange KuCoin Promises to Compensate Victims Affected by Fake Giveaway

KuCoin, the prominent cryptocurrency exchange, is committed to compensating users who fell victim to a fraudulent giveaway during its recent Twitter account breach.

The official KuCoin Twitter account was hacked, and for nearly an hour on April 24th, starting at 8 AM ET, it remained under the control of cybercriminals.

Did you know?

Want to get smarter & wealthier with crypto?

Subscribe - We publish new crypto explainer videos every week!

What Are Crypto Quests? EASIEST Ways to Earn Rewards Explained

SUBSCRIBE

ON YOUTUBE

The hackers orchestrated a fake promotional event that duped KuCoin users into thinking they were participating in a legitimate giveaway.

After regaining control of their account, the crypto exchange identified 22 transactions with a total value of 22,628 Tether (USDT) related to the incident and pledged to make all affected users whole.

In its announcement, KuCoin not only urged victims to reach out for help but also promised to bolster their security measures to ward off similar attacks in the future. In fact, they're teaming up with Twitter to dive deeper into the breach and explore how it transpired.

One individual who fell victim to the scam revealed they were one of the first to join the fake event. The victim explained that the crypto exchange had hosted similar campaigns, making it difficult to differentiate between legitimate and fraudulent giveaways. Moreover, KuCoin user added that luckily, the crypto platform managed to respond swiftly and decisively to the attack.

This incident highlights the growing trend of hackers targeting crypto exchanges' official Twitter accounts to promote scams. In September 2022, CoinDCX's account was compromised and used to advertise fake XRP promotions. Then, on January 25th, Robinhood's Twitter account was hijacked, and a false crypto token was promoted.

However, KuCoin's swift action and commitment to reimbursing affected users demonstrate their dedication to user protection and security, even in the face of increasingly sophisticated cyberattacks.