Tokens fraudulently using the name ChatGPT are scamming investors out of money
AI-related crypto tokens such as Fetch (FET), SingularityNET (AGIX) and Ocean Protocol (OCEAN) have seen significant gains throughout January as both institutional and retail investors focused on AI last month. rice field.
However, along with these benefits, fraud is also on the rise. @PeckShieldAlert This week, we announced the discovery of dozens of fraudulent tokens related to Bing’s ChatGPT integration.
The use of honeypot scams is common in cryptocurrencies. Honeypot scams involve fraudulent offers to investors to receive additional funds after sending the initial amount, but never actually receiving the money.
Today, investor interest in AI is skyrocketing following Microsoft’s eye-popping $10 billion investment. investment On OpenAI’s ChatGPT, news of language models going viral has also become a breeding ground for new forms of cheating.
According to Peck Shield’s analysis, there are currently at least 20 tokens on the market bearing the name BingChatGPT. Of these, 12 are on his BNB chain on Binance, 6 are created on Ethereum and 2 more on Arbitrum.
According to our on-chain analysis, a staggering 170 tokens are currently using the ChatGPT name, with BNB being the most popular protocol for issuance.
Neither Microsoft nor OpenAI have announced an official cryptocurrency project.
However, the market for honeypots and other cryptocurrency scams is growing.
Crypto investors lost nearly $3.8 billion to hackers last year, up from $3.3 billion in 2021, according to Chainalysis. report.
Increase in honeypot fraud
From September 2020 to December 2022, Solidus Laboratories Over 200,000 illicit tokens have been created and over 2 million investors have fallen victim to lag pulls and exit fraud.
On April 19, 2022, PeckShield suggested that the XTZ token could be a honeypot scam, plummeting 99.97% within 24 hours. Despite this warning, over 5,000 crypto investors have boarded the token. A week ago, tokens surged over 700% in an hour. His website and social media accounts for the project remained active after the significant decline. This means that even after a project turns out to be a honeypot scam, investor interest remains in some cases.
The year before, the web3 project Squid Game (SQUID) was booming with the popularity of the Squid Game Netflix series.project con man By depleting the liquidity pool, using a website with multiple grammatical errors, and featuring an anti-dump mechanism, we got $5.7 million out of our funds.
