New SIM swap hack appears, leading to increase in cryptocurrency attacks
By Bob Garcia
Hackers are getting creative with their methods of stealing cryptocurrency
Different types of scams and frauds are prevalent in the cryptocurrency world. Hackers use different tools to achieve their goals, from creating fake sites and applications to sending malicious emails and identity theft. These are some attacks that no one wants to be a victim of, so it is very important to always be aware of any possible threat. However, one that is a recurring trend is SIM swapping, a hacker strategy that relies on the security weaknesses of mobile operators in order to intensify crypto-attacks.
SIM swapping is a fraud modality that allows, in a nutshell, third parties to use your cell phone number to appropriate your accounts and financial data and, in this case, specifically, the wallets where you carry your cryptocurrencies. From the SIM, criminals can use the phone number to generate new passwords on existing accounts. As well as take over your social media accounts, retail accounts or any other account linked to the phone number, which in the end, turns out to be an account on the web.
“Carriers must be agile and innovative in fighting fraud and should not be anchored by prescriptive requirements tied to specific technologies or methods,” AT&T told the Wall Street Journal.
Once the hacker succeeds, the victim’s mobile phone will no longer be connected to the network, and the fraudster will receive all SMS and voice calls, including those used for authentication. Several stories related to these events have already been told, where large amounts of cryptocurrencies have been lost by people who noticed how their phone mysteriously lost signal.
In fact, late last week, a young man in Hamilton, Ontario, was arrested after being accused of stealing more than $35 million in cryptocurrencies after implementing a SIM swap attack on an unsuspecting victim in the US.