12 days ago 2 min read

Circle's Phishing Campaign Makes False USDC DeFi Swap Claims

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Table of Contents

The scheme aims to profit from the post-depeg recovery of USDC.

On March 16, a phishing attempt that erroneously promised access to a fresh USDC DeFi trading platform appeared on social media.

Emergence Of Fake USDC Trading Platform

The fake trading platform can be found at http-circledefi-dot-center, while the fake blog article promoting the swap platform can be found at http-circle-dot-blog.

The bogus platform, which claims to be affiliated with TRON DAO, claims to enable users to exchange Circle's USDC stablecoin for Tether's USDT stablecoin and has a UI that looks similar to Raydium, a legitimate DeFi platform.

How much money has been transferred to the fraudulent service is unknown.

The phishing site was mostly promoted on Reddit. Although it was shared on /r/USDC and about 20 other subreddits, it did not make it to /r/cryptocurrency.

It's interesting to note that the fraudster first tried to get traction on /r/Buttcoin, where they garnered a lot of comments. The con artist may have believed that the subreddit's disbelief in cryptocurrencies would cause commenters to ignore the intricacies of the fraud.

An official from Circle acknowledged to CryptoSlate that the aforementioned websites are bogus but would not specify what steps will be taken. A previous tweet from the corporation has also been pinned, warning users to watch out for "scammers and fraudsters with phony accounts."

The USDC Stablecoin From Circle Is Still Strong

The DeFi product was not mentioned in Circle's most recent update, which was posted on March 15 and can be seen at www.circle.com/blog.

The hoax appears to be an effort to profit on USDC's comeback after losing parity with the US dollar. Once Silicon Valley Bank closed, USDC depegged, and on March 11 it hit a low of $0.88 before rising to $1.00 on March 13.

By announcing that it was reducing backlogs and establishing new financial relationships during that recovery, Circle attempted to improve USDC.

The phony releases aimed to present the DeFi Swap as one of Circle's efforts to improve its product and made reference to those favorable achievements.

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