New Crypto Scam Using QR Codes To Deceive Users Into Authorizing Wallets Spreads: Bitrace

A new crypto scam utilizing QR codes to trick users into authorizing wallets is spreading, according to crypto data analytics firm Bitrace.

In a lengthy thread on the social media platform X, Bitrace says that the new crypto scam is deceiving traders by enticing them with alluring over-the-counter trades and rewards in the native asset of the layer-1 protocol Tron (TRX).

Bitrace says that after getting the attention of a trader, the alleged scammers will make a small USDT payment as a means of gaining trust.

“Bitrace found a new type of scam where theft is carried out through a payment QR code transfer test, essentially deceiving users into authorizing wallets.

Characteristics of QR Code Scam:

• Propose an OTC (over-the-counter) transaction.
• Offer lower rates than the market.
• Offer TRX as a fee for long-term cooperation.
• Make a USDT payment to gain trust
• Requests a small repayment test.”

Bitrace goes on to say that it conducted a test with an empty wallet to investigate how the scam works.

“Bitrace tested the QR code with an empty wallet and was directed to a third-party website, supporting USDT transfers.

Click Confirm to interact with a phishing smart contract, at which point the wallet authorization is stolen.” 

According to the analytics platform, the alleged fraudsters scammed 27 victims out of $120,000 worth of USDT from July 11, 2024, to July 17, 2024.

Bitrace recommends that investors conduct a risk check on the counterparty’s address before conducting any transactions.

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