Timely Measures by CoinLoan Stave Off Huge Crypto Fraud

Crypto Project Saved Hundreds of Wallet Users from Losing their Crypto Assets

The number of fraud cases in the crypto sphere has been rising lately, with a new multi-million dollar scam being reported nearly every week. This April, the CoinLoan team managed to detect and prevent one of such massive swindles, thus saving hundreds of Trezor wallet users from losing their crypto assets. 

A member of the CoinLoan anti-fraud team received a suspicious email prompting them to follow a link and upgrade Trezor Suite to the latest version. It turned out that the link led to a fraudulent copy of the Trezor website. If downloaded and installed, the attachment would have stolen a seed phrase opening access to a wallet. The CoinLoan staff reacted to this occurrence immediately by reporting the case in order to disable the fraudulent IP address and any connected domains. After that, they sent the data about the malicious wallet twins to VirusTotal, a free service analyzing information about malware and shares it with the security community. These timely and effective measures barred hackers from gaining access to hundreds or even thousands of Trezor wallets. 

Supposedly, hackers got hold of wallet users’ email addresses via a newsletters service, so this incident was not a result of Trezor negligence. Still, it clearly illustrates why sufficient security measures should be the top priority for all the participants of the crypto industry. 

“We are immensely proud of our fraud detection team. However, this incident does shed light on the inherent risks associated with (cold) non-custodial wallets, including software, connections to third-party vendors, and possible insider leaks,” said CoinLoan co-founder and CTO Max Sapelov. “In contrast, custodial wallets such as CoinLoan often implement a series of checks and holds which prevent fraudsters from a) gaining access and b) moving or withdrawing crypto in the event of a leak. As attacks such as this become more common, it is our hope that users intelligently weigh up the pros and cons of each type of wallet.”

The crypto community should be alert to scam cases that have become a frequent occurrence nowadays. The cybercrime detected by the vigilant CoinLoan team is a vivid example of it. Such occurrences fuel skepticism towards cryptocurrencies’ safety, creating an image of unstable and risky investment tools. That is why the highest security measures applied by CoinLoan are especially important for maintaining a positive view of cryptocurrencies at the time of their wide acceptance.

# # #

About CoinLoan

CoinLoan is an EU-licensed crypto business that started as a project in 2017. Its platform offers Instant Loans against crypto assets, Interest accounts in crypto, and Crypto Exchange. These services are rendered both to individuals and corporate entities with the exceptions as required by the applicable laws. We are striving to provide our clients with the highest security standards and insurance on assets to let both corporate and private customers benefit from the highest levels of protection.

Its highly-competitive loan and APY rates, transparent pricing, and 24/7 human customer support service have resulted in high customer retention and satisfaction. CoinLoan’s platform allows swapping and managing a comprehensive and growing range of cryptocurrencies, including its native token and fiat currencies.

The company is focused on continuous innovation through state-of-the-art technology and partnerships, bringing customers constant improvements and possibilities within the crypto world.

For more information, go to https://coinloan.io/.