Home Crypto News Fake Ledger Chrome Extension Crypto Scam May Have Stolen Up to $2.5M

Fake Ledger Chrome Extension Crypto Scam May Have Stolen Up to $2.5M

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A fraudulent cryptocurrency pockets masquerading as authentic Google Chrome extensions could also be answerable for a rip-off operation which will have claimed as a lot as $2.5 million in XRP, in accordance to a report from a Reddit consumer who claims to have misplaced roughly $2,500 in XRP to the rip-off extension over the weekend.

In the submit, which was made on March 28th, Reddit consumer ‘Leannekera’, who additionally claims to be contaminated with the coronavirus, wrote that she felt “so embarrassed” after she “watched our xrp transfer from our account to an account that is currently holding over $2.5 million in xrp.”

The steadiness of the “whale” that the stolen XRP was transferred to. Source: XRPCharts, Reddit.

“This is clearly a large operation,” she wrote.

And certainly, this can be the case–Ledger’s Twitter account warned customers of fraudulent Chrome Extensions on March fifth.

As of March 24, researchers at xrplorer forensics estimated that one such fraudulent Ledger extension had made off with 1.4 million XRP (price $235,775 at press time) in March alone.

Leannekera’s story

Leannekera mentioned that, sick and within the isolation of quarantine, she made the choice to consolidate her cryptocurrencies into Bitcoin as “money is tight”, and he or she believed that the consolidation would “recoup around 20%” of her and her husband’s losses.

“I recalled the Ledger having a Chrome extension and this is when the scam starts,” she wrote.

The rip-off was notably malicious due to steps that hackers might have taken to make it seem to be authentic: “the only ledger extension on the Chrome store is one by the name of ‘Ledger Wallet’ or ‘Ledger Live’,” she wrote.

“It claims to be from Ledger.com ® or Ledger Official ® and for all intents and purposes looks legitimate. It even had over 70 positive 4-5 star reviews, ranging from ‘Its a little difficult to operate’ to ‘once I understood what to do it was easy’.”

However, the extension then prompted her to enter her wallets’ proprietary seed phrase, which allowed the hackers to take possession of its non-public keys and ship the XRP to their very own pockets.

“The entire process took less than 8 minutes,” she mentioned.

While the precise Chrome Extension she allegedly used is now not on-line, Leannekera mentioned that she had “seen it re-uploaded this morning” on the time of the submit. Both of the hyperlinks that she provided to the alleged rip-off wallets have been lifeless ends, seeming to point out that that they had been faraway from the Chrome Web Store.

However, looking out the net retailer revealed that there’s a Ledger Wallet extension nonetheless reside on the platform, and there are a variety of opinions that say that it’s a rip-off. Finance Magnates reached out to Ledger to affirm whether or not or not the app is related to the corporate, however didn’t instantly hear again. This article shall be up to date when a response is obtained.

Source: Google Chrome Web Store, 30.03.2020

Unfortunately, fraudulent Chrome Extensions are nothing new to the world of cryptocurrency. In May of final 12 months, a faux Chrome extension focusing on Trezor customers was found by ESET antivirus researchers.

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