{"id":465894,"date":"2025-02-18T15:30:25","date_gmt":"2025-02-18T15:30:25","guid":{"rendered":"https:\/\/cryptoslate.com\/?p=465894"},"modified":"2025-02-18T15:16:37","modified_gmt":"2025-02-18T15:16:37","slug":"rising-share-seed-phrase-scam-targets-crypto-holders-binance-ceo-warns","status":"publish","type":"post","link":"https:\/\/cryptoslate.com\/rising-share-seed-phrase-scam-targets-crypto-holders-binance-ceo-warns\/","title":{"rendered":"Rising &#8216;share-seed-phrase&#8217; scam targets crypto holders, Binance CEO warns"},"content":{"rendered":"<p><a href=\"https:\/\/cryptoslate.com\/companies\/binance\/\">Binance<\/a> CEO <a href=\"https:\/\/cryptoslate.com\/people\/richard-teng\/\">Richard Teng<\/a> has warned the crypto community about a rising scam called &#8220;share-seed-phrase.&#8221;<\/p>\n<p>In a Feb. 18 <a href=\"https:\/\/x.com\/_RichardTeng\/status\/1891736556202824007?t=wNCgVc_I3lP2xx7HNVAVsg&s=19\">post<\/a> on X, Teng revealed that fraudsters use this deceptive tactic to manipulate victims into transferring funds to wallets controlled by them.<\/p>\n<h2>How the scam operates<\/h2>\n<p>In a <a href=\"https:\/\/www.binance.com\/en\/blog\/security\/shareseedphrase-scams-a-binance-guide-to-protecting-yourself-against-a-rising-threat-8692836719463694701\">blog post<\/a>, Binance explained that the scammers impersonate crypto professionals and approach victims under the guise of offering security assistance.<\/p>\n<p>These malicious actors claim that a user's account has been compromised and instruct them to import a specific <a href=\"https:\/\/cryptoslate.com\/glossary\/seed-phrase\/\">seed phrase<\/a> to secure their assets.<\/p>\n<p>Believing they are protecting their funds, the unsuspecting victims transfer their crypto to this supposedly safe wallet. However, the fraudsters drain the assets once the transaction is complete, leaving no trace behind.<\/p>\n<p data-start=\"758\" data-end=\"1060\">Due to this, Binance has urged users to stay vigilant and avoid engaging with unsolicited messages from individuals posing as company representatives.<\/p>\n<p data-start=\"758\" data-end=\"1060\">The exchange also emphasized that it never asks for sensitive information, including seed phrases, and warned users to verify communications through official channels.<\/p>\n<h2>Crypto scams sophistication<\/h2>\n<p>This scam depicts the complexity of <a href=\"https:\/\/cryptoslate.com\/crypto-scammers-net-over-9b-in-2024-as-ai-supercharges-fraud\/\">fraudulent schemes in the crypto space<\/a>.<\/p>\n<p>Traditionally, scammers attempt to steal users' seed phrases to access their wallets. However, this method reverses the approach\u2014fraudsters provide victims with a seed phrase, luring them into transferring funds before emptying the wallet.<\/p>\n<p>Another scam with similar mechanics emerged on <a href=\"https:\/\/cryptoslate.com\/rising-crypto-scams-lead-to-2-3-billion-in-total-losses-in-2024\/\">social media platforms like YouTube last year.<\/a><\/p>\n<p>In this scheme, scammers publicly share seed phrases in comment sections, pretending to be beginners seeking help. Unsuspecting users who attempt to access these wallets often find themselves tricked, as the scam preys on their curiosity and dishonesty. The wallets, which contain tokens but lack enough gas to move them, are protected by multi-sig technology meaning access to one seed phrase is not enough to transfer any funds out. Once a user transfers gas into the wallet, it is immediately moved by the scammer who holds enough shares of the multi-sig to do so.<\/p>\n<p>Security experts noted that these incidents show that cybercriminals will continue to <a href=\"https:\/\/cryptoslate.com\/crypto-phishing-scams-drained-10-million-in-january\/\">refine their tactics<\/a> to deceive users as digital assets gain more popularity. According to data from DeFiLlama, over $100 million has been stolen from crypto investors this year.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Binance CEO Richard Teng has warned the crypto community about a rising scam called &#8220;share-seed-phrase.&#8221; In a Feb. 18 post on X, Teng revealed that fraudsters use this deceptive tactic to manipulate victims into transferring funds to wallets controlled by them. How the scam operates In a blog post, Binance explained that the scammers impersonate [&hellip;]<\/p>\n","protected":false},"author":720,"featured_media":465902,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[39,9836],"tags":[77139,80064],"post_folder":[],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v21.9 (Yoast SEO v21.9.1) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Rising &#039;share-seed-phrase&#039; scam targets crypto holders, Binance CEO warns<\/title>\n<meta name=\"description\" content=\"Fraudsters impersonate crypto professionals, misleading users into securing funds via fraudulent seed phrases.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/cryptoslate.com\/rising-share-seed-phrase-scam-targets-crypto-holders-binance-ceo-warns\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Rising &#039;share-seed-phrase&#039; scam targets crypto holders, Binance CEO warns\" \/>\n<meta property=\"og:description\" content=\"Fraudsters impersonate crypto professionals, misleading users into securing funds via fraudulent seed phrases.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/cryptoslate.com\/rising-share-seed-phrase-scam-targets-crypto-holders-binance-ceo-warns\/\" \/>\n<meta property=\"og:site_name\" content=\"CryptoSlate\" \/>\n<meta property=\"article:published_time\" content=\"2025-02-18T15:30:25+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2025-02-18T15:16:37+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2025\/02\/scam-alert.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"630\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Oluwapelumi Adejumo\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@cryptoslate\" \/>\n<meta name=\"twitter:site\" content=\"@cryptoslate\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Oluwapelumi Adejumo\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"NewsArticle\",\"@id\":\"https:\/\/cryptoslate.com\/rising-share-seed-phrase-scam-targets-crypto-holders-binance-ceo-warns\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/cryptoslate.com\/rising-share-seed-phrase-scam-targets-crypto-holders-binance-ceo-warns\/\"},\"author\":{\"@type\":\"Person\",\"@id\":\"https:\/\/cryptoslate.com\/author\/oluwapelumi-adejumo\/#person\",\"name\":\"Oluwapelumi Adejumo\",\"url\":\"https:\/\/cryptoslate.com\/author\/oluwapelumi-adejumo\/\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/cryptoslate.com\/author\/oluwapelumi-adejumo\/\"},\"image\":{\"@type\":\"ImageObject\",\"@id\":\"https:\/\/cryptoslate.com\/author\/oluwapelumi-adejumo\/#authorimage\",\"url\":\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2025\/12\/profile-photo-oluwapelumi-adejumo-300x300.jpg\",\"contentUrl\":\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2025\/12\/profile-photo-oluwapelumi-adejumo-300x300.jpg\",\"caption\":\"Oluwapelumi Adejumo\"},\"jobTitle\":\"Senior Reporter\",\"description\":\"Oluwapelumi values Bitcoin's potential. 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