Authorities Uncover Phishing Scam Involving XRP Digital Coins

South Korean cops together with U.S Federal Bureau of Investigation cracked a global phishing scam wherein Ripple company's digital token, XRP was involved. The phishing racket victimized at least 24 targets in Japan and South Korea (SK), with the scammers understandably getting away with $800K-and-more worth of the digital token out of the
victims' wallets.

As per one local report, the authorities have hitherto detained two individuals in connection with the scam wherein one works for the other as computer programmer for salary.To execute the fraud, the cyber-criminals crafted one phony website trading crypto-currencies, which mimicked the original site. After that the second individual who hired the first spoofed the e-mail A/C of the actual exchange. Subsequently, both scammers dispatched electronic mails to potential victims from the spoofed A/C. The messages
informed recipients about their digital money being frozen.

A web-link inside the e-mails took onto the phony website on which 37 XRP investors from Japan and 24 from SK were lured towards typing in their login particulars on an online form. Those login details helped the scammers access the actual digital coin trading website from where they stole the users' funds.

And though scammers in the phishing operation targeted investors only from Japan and Korea, in December last, the FBI stepped in because Ripple, the issuing company of XRP, happens to be American.

A report from Korean media suggests a third person too as involved in the scam who works in certain crypto-currency exchange of Japan. This person reportedly equipped the first two in the scam with user information such as their e-mail accounts as well as dual factor authentication status. The said user info helped in identification of targets who were victimized.

Unfortunately, the case mayn't result in anything favorable. First, the $800K the scammers netted has been entirely spent as the scammers assert, so they can't give it back. Second, according to South Korean law, there can be no confiscation or freezing of the cyber-criminals' other properties because of the crime's character. Third, South
Korean law doesn't regard crypto-currencies as legal tender so victims most likely won't be compensated.

» SPAMfighter News - 9/24/2018