We are aware that there have been a number of ICO scams, but we’d also like to make our readers aware that another type of scam has arrived in the ICO arena, and that is scammers attacking ICO projects with hate campaigns.
This was brought to our attention via an article in hype.codes, which reveals that scammers are becoming more creative in developing cyber campaigns against projects in their ICO phase. The ultimate aim of their tactics, which are yet another form of trolling, is to get tokens as a reward if they cease their attacks.
Hype.codes cites the story of FireLotto, which has been the victim of this type of attack and outlined the series of steps the scammers took, which went like this:
Scammers started a cyber-hate campaign in social networks and on the popular crypto community forum Bitcointalk.
They make up accusations about the project and members of the team and try to stir up an environment of ‘lack of trust’ in every aspect of the project and its ICO.
They may also attack the project’s server and website
Then they send an email to Admin or to one of the team members offering to stop the campaign if they get a reward, and they ask for whatever they want.
For example, here is an email sent by scammers to FireLotto:
“The attack on your project was organized by the company that is going to start its lottery ICO this summer. We offer you to overbuy the order. Waiting for the answer until the evening.”
And here is another, which is altogether more threatening:
“Tomorrow morning we will send a notice to the Singapore police claiming that you are collecting funds for terrorist activities. The same notice will be sent to similar services in Russia and USA. Your English language branch on bitcointalk forum will soon be sent to the trash can. We will send warnings to your followers on Twitter and Facebook.”
The scammers then told FireLotto that the cyber-hate campaign had been ordered by another project with a similar product to FireLotto, and this ‘other project’ is supposedly launch in summer 2018.
Watch out for them in a project’s Bitcointalk forum, because this is where they are employed to do the most damage, and these scammers claim to employ people who are extremely good at their job. Some of them will even supply a sort of ‘Scamming CV’ showing other projects they have attacked and how successful they were at using the strategy. They may present themselves as crypto industry experts on Bitcointalk, and that can be hard to disprove.
Rather than submit to the scammers requests, FireLotto did informed its community about the cyber-hate campaign, which then sparked more attacks in Telegram. As hype.codes suggests, we all need to be careful out there.