The Australian Federal Police (AFP) have launched an investigation into a significant cryptocurrency scam where fraudsters impersonated Binance representatives to deceive individuals. This alarming scheme has brought attention to the growing risks in the crypto industry and highlights the importance of vigilance when managing digital assets.

Operation Firestorm Uncovers Fraudulent Activity

A joint operation conducted by the AFP, the National Anti-Scam Centre (NASC), and Binance Australia has exposed the scam, which was discovered during a global crackdown on digital fraud known as Operation Firestorm. Authorities disclosed that over 130 potential victims had already been targeted by the perpetrators.

How the Scam Operated

Scammers posed as official Binance representatives and contacted victims through encrypted messaging platforms and SMS. These fraudulent messages, known as “spoofed” communications, mimicked Binance’s official channels and often appeared within existing chat threads to enhance their credibility.

Victims received fake verification codes and were directed to call a supposed support number. Once connected, they were pressured into transferring their cryptocurrency to a “trust wallet” under the pretense of securing their account. In reality, this wallet was controlled by the fraudsters.

According to authorities, the stolen funds were quickly moved through a series of wallets and money laundering accounts, making recovery or seizure extremely challenging.

Advice for Victims

AFP Commander of Cybercrime Operations, Graeme Marshall, urged individuals who may have fallen victim to this scam to take immediate action. He advised reporting the incident to their bank or crypto exchange and notifying the police through ReportCyber.

“The AFP has worked closely with our partners at the NASC to ensure any victims in Australia targeted by these scammers were identified swiftly and given advice to help protect their cryptocurrency accounts,” Marshall stated.

Binance: A Frequent Target for Scammers

As one of the largest cryptocurrency exchanges globally, Binance has often been targeted by fraudsters seeking to exploit its users. Similar scams have been reported previously, including a warning issued by Cyprus police in February 2025 about fraudsters using fake SMS alerts to trick users into giving up their credentials.

Steps Binance Is Taking to Enhance Security

In response to the growing threat of phishing scams, Binance is reportedly developing a new security feature aimed at helping users detect fraudulent SMS messages. While specific details about this feature are still unclear, the move underscores the importance of proactive measures to protect users in the crypto space.

Tips to Avoid Falling Victim to Crypto Scams

To safeguard your cryptocurrency assets, consider the following tips:

  • Verify Communications: Always cross-check messages claiming to be from official sources. Visit the company’s website or contact their support directly to confirm authenticity.
  • Avoid Clicking Links: Refrain from clicking on links sent via email or SMS unless you are certain they are legitimate.
  • Enable Two-Factor Authentication: Enhance account security by enabling two-factor authentication (2FA) on all platforms where you hold cryptocurrency.
  • Use Secure Wallets: Store your funds in trusted wallets with robust security measures.
  • Stay Updated: Regularly educate yourself on common scams and security practices in the crypto industry.

As cryptocurrency adoption continues to grow, scams like these highlight the importance of vigilance and proactive measures. Protecting your digital assets requires staying informed and adopting best practices to ensure your investments remain secure.

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