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Binance is embroiled in a massive cryptocurrency scam in Pakistan; crypto security is not impenetrable
The cryptocurrency myth that its security is impenetrable has been debunked numerous times. The most recent is a multimillion-dollar swindle being investigated by Pakistan's federal agency, or the FIA. According to Cointelegraph, the fraud entailed deceiving investors into transmitting funds from Binance wallets to unknown third-party wallets.
Fraudsters defraud investors worth millions of rupees.
The FIA, Pakistan's principal federal investigative body, has issued notifications to cryptocurrency exchange Binance in order to uncover the linkages behind a multimillion-dollar crypto scam in the region. A criminal enquiry was launched following many allegations of investors being deceived into sending funds from Binance wallets to unknown third-party wallets.
According to local reports, the FIA's Cyber Crime Wing has issued a summons to Binance Pakistan's general manager Hamza Khan. In addition, the investigation into the exchange's connection to fraudulent online investing mobile applications has begun.
The necessary questionnaire has been sent to Binance Headquarters Cayman Islands and Binance US to explain the situation, according to the Notice. The fraud's method was straightforward.
Users were duped into registering on Binance and transferring funds to third-party wallets after being promised huge and unrealistic profits. These strategies benefit existing customers at the expense of new customers. They eventually vanish after earning a killing worth billions of rupees.
Mobile crypto apps that are fraudulent
More than 11 fraudulent mobile apps that abruptly ceased operation after successfully taking the user's funds have been found. FIA has identified the following apps: MCX, HFC, HTFOX, FXCOPY, OKIMINI, BB001, AVG86C, BX66, UG, TASKTOK, and 91fp.
In addition to duping users into transferring funds, the apps connected the victims to a Telegram group for professional betting signals. On average, each application housed roughly 5,000 consumers.
Binance was apparently served with an official notice by Pakistan's Federal Investigation Agency. According to the notice, "at least 26 suspect blockchain wallet addresses (Binance wallet addresses) where fraudulent money may have been transmitted have been found." A letter has been sent to Binance Holdings Limited in order to obtain the details of these blockchain wallet accounts and to debit block them."
The FIA has already frozen the bank accounts associated with the suspect apps and warned Binance that noncompliance could result in severe penalties imposed by the State Bank of Pakistan.
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By Crypto PiratesThe cryptocurrency myth that its security is impenetrable has been debunked numerous times. The most recent is a multimillion-dollar swindle being investigated by Pakistan's federal agency, or the FIA. According to Cointelegraph, the fraud entailed deceiving investors into transmitting funds from Binance wallets to unknown third-party wallets.
Fraudsters defraud investors worth millions of rupees.
The FIA, Pakistan's principal federal investigative body, has issued notifications to cryptocurrency exchange Binance in order to uncover the linkages behind a multimillion-dollar crypto scam in the region. A criminal enquiry was launched following many allegations of investors being deceived into sending funds from Binance wallets to unknown third-party wallets.
According to local reports, the FIA's Cyber Crime Wing has issued a summons to Binance Pakistan's general manager Hamza Khan. In addition, the investigation into the exchange's connection to fraudulent online investing mobile applications has begun.
The necessary questionnaire has been sent to Binance Headquarters Cayman Islands and Binance US to explain the situation, according to the Notice. The fraud's method was straightforward.
Users were duped into registering on Binance and transferring funds to third-party wallets after being promised huge and unrealistic profits. These strategies benefit existing customers at the expense of new customers. They eventually vanish after earning a killing worth billions of rupees.
Mobile crypto apps that are fraudulent
More than 11 fraudulent mobile apps that abruptly ceased operation after successfully taking the user's funds have been found. FIA has identified the following apps: MCX, HFC, HTFOX, FXCOPY, OKIMINI, BB001, AVG86C, BX66, UG, TASKTOK, and 91fp.
In addition to duping users into transferring funds, the apps connected the victims to a Telegram group for professional betting signals. On average, each application housed roughly 5,000 consumers.
Binance was apparently served with an official notice by Pakistan's Federal Investigation Agency. According to the notice, "at least 26 suspect blockchain wallet addresses (Binance wallet addresses) where fraudulent money may have been transmitted have been found." A letter has been sent to Binance Holdings Limited in order to obtain the details of these blockchain wallet accounts and to debit block them."
The FIA has already frozen the bank accounts associated with the suspect apps and warned Binance that noncompliance could result in severe penalties imposed by the State Bank of Pakistan.
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