OpenAI's X Account Hacked in Cryptocurrency Scam Amid Rising Crypto Frauds

OpenAI's X Account Hacked in Cryptocurrency Scam Amid Rising Crypto Frauds

OpenAI's 'Newsmaker' account on X faced a security breach on Monday, with hackers promoting a fraudulent cryptocurrency scheme involving a fake token called $OPENAI. The compromised account posted misleading information, urging users to claim a portion of the token's initial supply and gain access to upcoming beta programs. Users were directed to a fake website where they were lured into connecting their cryptocurrency wallets, potentially exposing sensitive login details.

The fraudulent post falsely claimed, “We’re happy to announce $OPENAI, the token bridging AI and blockchain technology,” while promising holders access to OpenAI’s future programs. As of now, neither OpenAI nor X has issued an official statement on the breach.

This incident mirrors a similar hack last year involving OpenAI’s Chief Technology Officer’s X account, which was used to promote another fake cryptocurrency. It also follows the recent hacking of the Indian Supreme Court's YouTube channel to promote a cryptocurrency scam linked to Ripple Labs.

Crypto-related scams on social media are becoming increasingly frequent, with Americans reportedly losing $5.6 billion to such frauds in 2023, marking a 45% rise from the previous year. One of India's largest scams, involving STA Token, affected around 200,000 people and resulted in losses of over Rs 1,000 crore. In response to the growing issue, India’s Department of Economic Affairs is preparing a consultation paper on cryptocurrency regulation, expected in October.