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Today, CYJAX, a provider of threat intelligence, has released its most recent study on the cryptocurrency sector. The report delves into the realm of cryptocurrencies, highlighting a series of intriguing attacks and developments as malicious actors seek to capitalize on the influx of newcomers in the industry.

The study reveals a shift in focus for threat actors, who are now targeting individuals rather than systems. While attacks aimed at users have long plagued the cryptocurrency space, recent market dynamics coupled with the ease of perpetrating scams through platforms like X have elevated them to become one of the major threats in Q1 of 2024.

According to CYJAX’s findings, phishing and social engineering persist as the most efficient and straightforward methods for threat actors to pilfer cryptocurrency. The report identifies the following tactics as the most commonly exploited:

• In 2024, romance scams within the cryptocurrency sphere, commonly referred to as “pig butchering” scams, have gained prominence.
• The prevalent use of drainer malware, where hackers masquerade as legitimate crypto entities to deceive individuals into divulging their wallet information, thereby exposing them to malicious code.
• Zero-value transfer attacks, a form of phishing scheme that deceives users into thinking they are transferring funds to a familiar address when, in reality, they are sending them to an address controlled by the threat actor.
• Exit Scams, also known as “rug pulls,” involve enticing investors to inject liquidity into an asset pool before absconding with their funds.

Additionally, the report highlights the malicious use of advertising on social media platforms. Cybercriminals exploit platforms like Google and X by disseminating fake ads containing drainer malware, as well as leveraging Telegram channels to orchestrate Exit Scams.

Joe Wrieden, Intelligence Analyst at CYJAX, commented, “While the cryptocurrency market appeared to be self-destructing towards the end of 2022, 2024 has witnessed a resurgence, with threat actors seizing the opportunities it presents. Moving into Q2, we anticipate scammers targeting newcomers predominantly on social media platforms. As X intensifies its efforts to combat malicious activities, threat actors might pivot to other platforms like TikTok and Instagram, leveraging short-form content. The cryptocurrency sector continues to soar, offering boundless opportunities, but investors must exercise caution in determining whom to trust, as they are not the only ones eyeing profits.”