Cardano (ADA) Holders Need To Pay Attention To These Warnings

A new fraud that targets the Cardano community, which intends to steal crypto assets has been brought to the notice of ADA holders by an X user Elraulito (ElRaulito_cnft).

In a recent post, he alerted the public of the scammers’ trick. He wrote, “Scammer that was exposed yesterday has stolen +160,000 $ADA with the fake berry pool / fake snek event and next fake etoro event.”

Scammer that was exposed yesterday has stolen +160,000 $ADA with the fake berry pool / fake snek event and next fake etoro event

stake1uyhh4q40cj4taqyhxgwznxcl56tc3jk8emkr6sneg8rr6vqyn03lh

Tokens were quickly swapped for $ADA using DexHunter interface (no api as DH team… pic.twitter.com/qrXNt90c59

— elraulito (@ElRaulito_cnft) December 13, 2023

The Scam Techniques

The Berry pool scam involves a fake staking pool supposedly offering additional ADA rewards. Users are lured through social media or other channels with promises of high returns. They are then directed to a malicious website or link that prompts them to connect their wallets. Once connected, the website can drain their ADA holdings.

The sneak event scam involves a fake “Snek Reward Token” that is airdropped to unsuspecting users’ wallets. The metadata linked to the token points to a website that tries to trick users into signing a transaction that would empty their wallets.

Finally, the eToro event scam involves a fake partnership with the popular trading platform eToro. Users are allowed to participate in a non-existent “eToro event” that promises high returns. Similar to Berry Pool, they are directed to a malicious website or link that leads to wallet theft.

An Official Warning

In another post on X, the official Cardano Community (@Cardano) handle explained how the Scammer uses these fake rewards events to promise ADA incentives.

The official community handle wrote, “Warning: Scam Alert. We want to bring to your attention that some Berry Pool delegators have received an NFT promising additional ada rewards through a deceptive/fake rewards event.”

Warning: Scam Alert ⚠️⚠️

We want to bring to your attention that some Berry Pool delegators have received an NFT promising additional ada rewards through a deceptive/fake rewards event.

Please be cautious as the associated website has been identified as a scam. Unfortunately,… https://t.co/tfKTEoTlBE

— Cardano Community (@Cardano) December 14, 2023

These are similar to the warnings the SHIB community recently received about interacting with unofficial channels, among others.

Unfortunately, the news didn’t get to users on time, as those who fell victim to the scam had already experienced massive losses.

The Cardano Community account wrote further, “Please be cautious as the associated website has been identified as a scam. Unfortunately, users who connected their wallets and signed transactions have already experienced losses exceeding 200k ADA.”

We are on twitter, follow us to connect with us :- @TimesTabloid1

— TimesTabloid (@TimesTabloid1) July 15, 2023

The Cardano Community account advised users to exercise caution and thoroughly examine transaction summaries before signing any transactions.

Furthermore, they urged users to stick to reputable sources for information about Cardano as that is a crucial step to ensure the security of their assets and avoid falling prey to deceptive schemes.

Early in the month, Scammers tricked innocent Shib token holders into giving up their SHIB by employing sophisticated strategies and social media platforms. The Cardano community has to stay vigilant, and all users must stay informed and exercise caution when dealing with unexpected offers or events.

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Tobi Loba

Tobi Loba is a passionate writer with a vast interest in the stock market. She joined the crypto ecosystem about three years ago and has written lots of ebooks and articles in relation to cryptocurrency and blockchain projects. Tobi Loba earned her degree at the University of Ibadan.