Fake Platform Impersonates Circle, Targets Crypto Users on Christmas Eve
Scammers don't take holidays—they double down. On Christmas Eve, a fraudulent platform masquerading as Circle, the issuer of USDC, launched a coordinated phishing attack targeting cryptocurrency users worldwide.
The Anatomy of a Holiday Heist
The operation mirrored classic brand impersonation tactics. Fake websites, cloned social media profiles, and spoofed email campaigns promised exclusive holiday "airdrops" and "bonus yields" on USDC holdings. Links led to sophisticated wallet-drainers disguised as legitimate Circle interfaces.
Why This Timing Works
Attackers bank on distracted users during festive periods. Security teams operate with skeleton crews, and individuals checking portfolios between celebrations lower their guard. The scam leveraged seasonal goodwill, wrapping malicious intent in the guise of a Christmas "gift" from a trusted name.
The Industry's Persistent Blind Spot
Despite billions in market cap, crypto's user-facing security layer remains brittle. Centralized entities like Circle build trust, but that trust becomes a single point of failure when exploited. The ecosystem still relies too heavily on individual vigilance against professionally orchestrated campaigns.
A cynical take? In traditional finance, stealing your money usually requires a suit, a boardroom, and quarterly reports. In crypto, it just takes a convincing website and a holiday weekend. The lesson endures: in a trustless system, verify everything—especially on Christmas.
Did Circle launch a tokenized gold product?
The announcement used Circle’s official branding and included what appeared to be quotes from CEO Jeremy Allaire. The website, which has since been taken down, asked users to connect their digital wallets to enable swapping for the supposed precious metals tokens, something security experts widely consider a significant risk, as malicious actors can exploit this access to drain user funds.
As of the time of writing, Cryptopolitan did not find any evidence to confirm that GLDC or SILC tokens exist or that any legitimate financial institution is involved with the supposed platform.
Following reports of the scam, Circle warned users on X to remain vigilant, stating, “Please be alert and vigilant—verify the legitimacy of requests before taking action, especially when asked to connect your wallet. When in doubt, double-check.”
It added that all major announcements about Circle products will always be posted to Circle’s main X handles and on their official website, which wasn’t the case in this controversial post.
Fake Circle press release is taken down
The press release was distributed via several crypto-focused public relations platforms and some reputable news outlets, which have now taken the story down, initially reported on the announcement, thinking it was actually from Circle.
According to reports, a PR agency called FinaCash reached out to Chainwire to distribute the story; however, the post was removed immediately after further compliance checks, according to a Chainwire spokesperson.
The Federal Bureau of Investigation (FBI) issued a warning last year in December, stating that scammers were getting more sophisticated as they now use artificial intelligence in their operations to create fake profiles and employ pressure tactics to defraud Americans during the holiday period.
Cryptocurrency security experts say that users should never connect wallets to unverified websites and should always verify announcements through official company channels.
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