Binance Co-founder Calls Out Elon Musk's X.com Over Rampant Cryptocurrency Scams
Summary:
Binance co-founder, Yi He, criticizes Elon Musk's X.com for insufficient measures to curb cryptocurrency scams, especially impersonation frauds on the platform. She cites her own experience with impostor accounts promoting non-existent Binance-backed memecoins. Reportedly, account impersonation scams on X.com lead to approximate monthly losses of $50 million. Public confusion over Musk's paid verification service, allowing any smartphone user to register and receive verification, may contribute to the scams.
X.com, under Elon Musk's ownership, has been criticized by Yi He, co-founder of Binance, for not taking adequate steps to stop the spread of cryptocurrency scams on the social media platform. Yi He drew attention to an ongoing impersonation scam on X, questioning if Musk plans to resolve such issues. She shared screenshots of accounts mimicking her own X username (@heyibinance) and actual name. The Binance exec highlighted a particular scam that induced users to click a link for access to Binance-affiliated memecoins, which she promptly clarified do not exist and that clicking such links could lead to financial loss.
Cointelegraph's recent report suggests that X.com has become a hotbed for cryptocurrency scams, with scam artists responsible for a large chunk of all crypto frauds on the platform. According to Scam Sniffer, a web3 anti-scam company active on X.com, around $50 million is lost each month to account impersonation scams. These frauds predate Musk's acquisition of the former Twitter platform and its subsequent rebranding to X.com. However, the public confusion surrounding Musk's contentious paid verification service, which allows any smartphone user to register and receive verification, may be fueling the continued fall for impersonation scams. Musk's past statements on addressing "bot" and "spam" problems after assuming control of Twitter have raised doubts about whether he specifically dealt with cryptocurrency scams.
Up until the publication of this story, Musk has not responded to Yi He's post on X.com. Musk has also been sued by Tesla investors for allegedly diverting resources and talent to xAI, in related news.
Published At
6/15/2024 11:46:11 PM
Disclaimer: Algoine does not endorse any content or product on this page. Readers should conduct their own research before taking any actions related to the asset, company, or any information in this article and assume full responsibility for their decisions. This article should not be considered as investment advice. Our news is prepared with AI support.
Do you suspect this content may be misleading, incomplete, or inappropriate in any way, requiring modification or removal?
We appreciate your report.