Crypto Users Beware: New Scam Spoofing Binance Alerts

Yele Bademosi

March 24, 2025

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A Growing Threat to Crypto Investors

Imagine receiving a text message that looks exactly like those you usually get from Binance. The message warns you of a breach in your account, urging you to move your funds to a “safe” wallet immediately. Panic sets in, and you act fast—only to realize you’ve just sent your crypto straight into the hands of scammers.

This is exactly what’s happening to unsuspecting victims in Australia, where over 130 individuals have been targeted by an elaborate impersonation scam, according to the Australian Federal Police (AFP).

How the Scam Works

This latest fraud scheme exploits a common weakness in SMS communication—Sender ID spoofing. The scammers send messages that appear in the same thread as legitimate Binance notifications. To make their ruse even more convincing, they include fake verification codes and a supposed customer support number.

Once victims call this number, they’re instructed to protect their assets by moving them into a “trust wallet”—controlled by the fraudsters. With one simple transfer, victims lose their funds, which are then swiftly moved through a network of wallets, making recovery near impossible.

Australia’s federal police have identified at least 130 individuals targeted by this scam.
Source: Australian Federal Police

Why Is This Happening?

Fraudsters exploit weaknesses in telecom systems that allow them to alter Sender IDs. This means SMS messages can appear as if they’re coming from a trusted source when they’re actually from scammers.

This scam isn’t unique to Binance. Recently, there have been similar reports about fraudulent emails pretending to be sent by Coinbase and Gemini, tricking users into setting up wallets with pre-generated recovery phrases—giving scammers access after setup.

How to Protect Yourself

Red Flags to Watch Out For

Unsolicited messages from Binance or any crypto exchange claiming your account has been compromised.
Urgency and pressure to act fast. Scammers want you to panic and not think things through.
Requests to share your seed phrase. A legitimate exchange will never ask for your recovery phrase—this is a surefire scam signal.

How to Verify Authentic Binance Messages

Binance Chief Security Officer Jimmy Su advises users to rely on Binance’s official verification tool to confirm official communication channels. If a message seems suspicious, stop, don’t panic, and check official sources before taking action.

Binance urges users to verify communication through official sources.
Source: Binance Australia

The Battle Against Crypto Scams

Authorities are stepping up efforts to combat such scams. The Australian government has announced a new SMS Sender ID Register, which will require telecom providers to verify if brand-name messages are legitimate. A pilot program will roll out soon, with full implementation expected by late 2025.

But the best defense starts with awareness. With Australians losing $269 million to investment scams last year—almost half of which involved crypto—it’s clear that staying informed and vigilant is critical.

Stay Safe: Trust, But Verify

The crypto industry is a prime target for scams, and no one is immune. Always double-check messages, use official verification tools, and remember: if something feels off, it probably is.

💡 Golden Rule: If a message pressures you to act urgently, always take a step back, verify the source, and protect your assets.

🚨 Have you encountered similar scams? Share your experience in the comments and help spread awareness!