Layerswap, a cryptocurrency exchange, experienced a security breach on March 20th, resulting in a phishing scam and a loss of $100,000 for around 50 users. The malicious actors compromised Layerswap’s GoDaddy account and redirected traffic to a fake website.

Despite some delays, Layerswap was able to regain control of their domain and took swift action to refund affected users and offer a 10% bonus as compensation. However, this incident is just one of many crypto scams that continue to plague the industry, with Scam Sniffer reporting $46.86 million lost in February 2024 alone.

According to Scam Sniffer, over 57,000 individuals fell victim to various phishing schemes in February, but there was a decrease in victims losing over $1 million compared to the previous month. However, vulnerabilities still exist, as seen in the recent ParaSwap incident where a hacker was able to cash out funds worth $24,000.

The Layerswap incident serves as a reminder of the ongoing threat posed by cybercriminals in the cryptocurrency space. While Layerswap’s response was commendable, it highlights the importance of enhanced security measures and increased awareness within the crypto community.

Categories:
– News
– Security

Tags:
– Cryptocurrency
– Exchange
– Security breach
– Phishing scam
– Scam Sniffer
– ParaSwap