Kaito AI and X Social Media Handles of Founder Yu Hu Hacked
Kaito AI, a crypto market analysis platform that uses artificial intelligence, and founder Yu Hu were victims of a sophisticated social media hack on March 15. The hackers used the hijacked X handles to spread false information that Kaito wallets were hacked, causing panic among the users.
Hackers Manipulated Market for Profit
As instructed by DeFi Warhol, the hackers made a short sale of KAITO tokens before releasing bogus messages. Their scheme was to force a sell-out, drop the token price, and harvest earnings. The Kaito AI team quickly intervened to take control of the accounts back and ensure Kaito wallets were secure.
We enforced top-notch security measures to prevent [the hack] — so it would look like the same or identical to other recent Twitter account hacks,” explained the Kaito AI team.
Crypto Market Exposed to Growing Cyber Threats
This is the newest addition to a long list of social media hacks on the crypto market. Other recent instances include:
Pump.fun’s X account hack (Feb. 26): Fraudsters pushed fake governance tokens, defrauding users.
Jupiter DAO and DogWifCoin attacks: Onchain analyst ZackXBT posted these attacks as the result of Pump.fun’s exploit.
CanCap scam (7 March): Scammers utilized the utilization of manipulative news and politician endorsements in promoting a cryptocurrency scam in Canada.
Social Engineering Scam of Lazarus Group
State-backed hacking group Lazarus has also changed tactics. Posing as venture capitalists, they invite the victims onto Zoom calls and pretend to have audio-visual issues. Victims are diverted to an imitated chat room and are requested to apply a false patch, which implants malware that hijacks crypto wallet private keys and personal data.
Conclusion: Staying Vigilant in a Dynamic Threat Landscape
As crypto-related cybercrimes are on the increase, users are advised to be cautious and follow stringent security practices. Social media scams, phishing, and sophisticated hacking techniques underscore the importance of exercising caution in the crypto space.
