Police are warning about a rise in Binance scam texts. Photo: stock
Authorities are warning Australian cryptocurrency customers about scammers impersonating the high-profile Binance exchange.
The National Anti-Scam Centre (NASC) alerted more than 130 potential victims to the scam after they were identified through messages found on an end-to-end encryption platform, the Australian Federal Police (AFP) says.
In scams similar to what is seen in traditional finance, targets were allegedly contacted via SMS and encrypted messaging platforms by someone claiming to be a Binance representative who said their cryptocurrency accounts had been breached.
The messages contained fake verification codes and were often ‘spoofed’, meaning they appeared in a legitimate existing message thread from the well-known cryptocurrency exchange.
A support phone number was sent but when the targets called it, they were told to ‘protect’ their accounts by transferring their cryptocurrency to a ‘trust wallet’ controlled by the scammer and allowed the assets to be stolen.
AFP Commander Cybercrime Operations Graeme Marshall says once funds were transferred to a scammer’s account, they were quickly transferred through a network of wallets and money laundering accounts making seizure or recovery difficult.
“Anyone who received an SMS or email warning from the NASC must take it very seriously,” Commander Marshall says.
An AFP-supplied screen capture of a scam text.
“If you have already transferred your cryptocurrency to a so-called trust wallet, report it to your bank or digital currency exchange immediately, then to police via ReportCyber quoting the reference number AFP-068.”
Australian Competition & Consumer Commission Deputy Chairwoman Catriona Lowe said impersonation scams are common and it was vital to verify all communications even where they appeared to come from trusted organisations.
“Impersonation scams rely on people trusting that the text, email or phone call they get is legitimate and scammers go to significant lengths to create the appearance of legitimacy,” she says.
“We urge all Australians to contact an organisation directly using official contact details from their website or app to verify any communication they receive.”
BINANCE COMMENTS
Binance Chief Security Officer Jimmy Su says education is key in the fight against scams.
“Scammers often impersonate trusted platforms, like Binance and others, by exploiting certain telecom loopholes to manipulate sender names and sender phone numbers to create urgency,” he says.
“To stay safe, always verify communications using Binance Verify — our tool to confirm official Binance channels. Never share sensitive information like your seed phrase or transfer funds under pressure. If in doubt, stop and verify through official sources.
“Binance remains committed to working with law enforcement and the community to combat fraud and enhance user security.”
WARNING SIGNS
The AFP says the following should be considered warning signs:
- Unsolicited contact from someone claiming to be from Binance about an ‘account breach’.
- Pressure to act quickly due to suspicious activity or security concerns.
- Being asked to provide sensitive information, such as your seed phrase or account balance.
- Unusual requests to transfer money or make payments to a different account under the guise of securing your funds.
- Insisting on secrecy and not discussing the matter with family or friends.
PROTECT YOURSELF
If you receive a call, email or text claiming to be your Digital Currency Exchange (DCE) provider, use the official contact details on your provider’s website to confirm the legitimacy of the request.
Don’t click on any links or download attachments from unsolicited messages.
Be extremely wary of urgent requests asking you to act immediately.
Keep your devices secure by ensuring your software is always up to date.
Never provide your personal information, particularly your seed phrase.
If you are concerned your identity has been compromised, contact the national identity and cyber support service, IDCARE.
If you, or someone you know, needs help, we encourage you to contact Lifeline on 13 11 14 or Beyond Blue on 1300 224 636. They provide 24/7 support services.
