TMZ Crypto #37: Scams, Rug Pulls, and Crypto Drama

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💣 💥 TMZ Crypto #37 💰 ☠️ Your weekly newsletter of the biggest scams, rug pulls, and the general drama of the crypto world! ⤵️ Delivered to your feed in a single thread.

I know I've been slacking. But I promise to get back on track! Let's start with THE WILDEST crypto scam story I've encountered for ages. A scam that ends with a SWAT team in front of the victim's house. INSANE! 🤯 Make sure to read this one! 👇 twitter.com/VaschettoSofia/status/1711915760338317406

After a major security incident a few months ago, @LastPass is in hot waters again. Seed phrases stored in the LastPass vault apparently got stolen. ❗DON'T STORE YOUR SPEEDPHRASE ONLINE❗ twitter.com/flippen6485/status/1712158624985002176 h/t: @0xQuit twitter.com/tayvano_/status/1711861911728640200

Reddit is the latest major company feeling the heat of regulatory oversight when it comes to using tokens. It seems the topic got too hot for Reddit, and they pulled the plug on their $moon coin and sent it straight into the ground. twitter.com/BITCOINALLCAPS/status/1714350047876284615

I could write a TMZ SPECIAL about the ongoing legal battle of SBF. I selected a few of the best threads I found. TL'DR: The dude is totally crazy, even though this is not really news! twitter.com/coffeebreak_YT/status/1712212462542495816 twitter.com/AutismCapital/status/1711922830512939481

Here's another thread that will give you a quick overview of what's happening with the lawsuit. Summary: Q: What crimes did you commit? A: A LOT! twitter.com/martypartymusic/status/1710230870823670259

Last one! Let's say the craziness runs in the family. SBF's dad was unhappy with his 200k/year for basically doing nothing. He wanted a cool milli per year. OKEY! twitter.com/jconorgrogan/status/1704136563062439940

In the early years of crypto, the bad guys used it because everybody thought it was impossible to track or very, very difficult. Times have changed. Nowadays, crypto esp. Bitcoin has a reputation as the 'best trackable' asset out there. twitter.com/SamLyman33/status/1712209368450511162

I use this tweet as a reminder that even official domains can be hacked and overtaken. Always make sure the little lock next to the domain name in your browser is locked and watch out for other clues - such as "surprise mints or air-drops": twitter.com/LeonidasNFT/status/1711451399945412741

SocialFinance app StarsArena got hacked twice within a week or so. lilitch posted a great deep dive into what happened in the 2nd hack: twitter.com/0xlilitch/status/1710554756748353696

This is a reminder not to follow big accounts blindly. They can be hacked or publish malware/scams on their own. Like in this case: h/t: @CC2Ventures twitter.com/iins_omnia/status/1711090369461453056

No TMZ thread without @zachxbt (one day I'll get a follow-back 😍 ) Here, he exposed a group that was sim-swapping FriendTech users (at that time, users couldn't change auth methods after the fact). NEVER USE YOUR PHONE NUMBER as 2FA method. twitter.com/zachxbt/status/1709697295464141208

Another one going down! twitter.com/tier10k/status/1707758944205033748

We can put this in the category: Just one more way to get hacked. Don't scan QR codes in Discord. Of course, that's just the first step in the scam process, but that's how they try to trick you. With uncommon ways of interaction. twitter.com/nft_dreww/status/1703030056430268473

It's been so long (less than a month) that we collectively already forgot what kind of crazy sh*t Ben was pulling off. I wanted to include one tweet just as a little reminder. twitter.com/HitNetwork_/status/1704577412934066567

You must know that Ben had an affair with the woman from the post below. He also brought her along when he got arrested. The comment from Loomdart was so on point, and I thought it would make for a good "Meme of the Week" :) twitter.com/loomdart/status/1706561121170174359

This is yet another reminder of how quickly you can get scammed through Discord. We always think this won't happen to us. We're careful. But remember, these people have been careful, too. In Fede's own words: h/t: @officer_cia twitter.com/fedesarquis/status/1707450611371839722

I was just talking about how this can happen to everybody. Famous, rich people are no exception. @mcuban fell for a scam as well. He lost close to $900k and could have lost an additional $2M if the hacker paid more attention and checked all chains. twitter.com/WatcherGuru/status/1703058793787973940

I want to close this issue with another very sophisticated scam attempt. Working websites, flawless English, and even a working product/app can all be just a front with the end goal of scamming you out of all your assets. twitter.com/fidoeth/status/1704696804887982163