Australia’s police joins global campaign to disrupt crypto scams

The Australian Federal Police has teamed up with Chainalysis to identify over 2,000 breached crypto wallets belonging to Australians.

Australia’s national police force, the Australian Federal Police, has partnered with blockchain forensics firm Chainalysis to combat crypto scammers after the number of compromised crypto wallets belonging to Australians surpassed 2,000.

In a press release on August 5, AFP announced that it had joined an initiative called “Operation Spincaster,” which targets criminals using a tactic known as “certified phishing.” This scam enriches threat actors by stealing cryptocurrencies from wallets that are not intended for safekeeping.

While it is unclear whether the AFP has managed to recover some of the stolen assets, BTC Markets said Binance, Crypto.com, Ebonex, Independent Reserve, OKX, SwyftX and Wayex have collaborated to identify and support Australian victims, preventing further financial loss. The AFP urged Australians to be wary of confirmation scams and to be careful when dealing with crypto transactions.

Confirmation phishing attacks continue to rise

Confirmation phishing is a particularly insidious form of crypto theft, where scammers trick victims into authorizing transactions that give them control over their wallets.

The tactic is common in both investment and romance scams, with victims lured in with promises of high returns or manipulated under the guise of a romantic relationship, AFP says.

According to police, malicious actors have made more than $4 billion in crypto using confirmation phishing attacks alone since May 2021. As Crypto.news previously reported, the crypto sector was hit by a series of devastating attacks in July, leading to losses of approximately $266 million, a 51% increase from the $176 million reported in June.