Robinhood's Twitter Hacked, Used to Promote Scam Tokens

Robinhood's Twitter Hacked, Used to Promote Scam Tokens

Robinhood is a platform known for its user-friendly approach to stocks, allowing you to invest quickly in a variety of ways. It also allows them to buy crypto and is a well-known name among such investors.

However, Robinhood is primarily a stock trading platform and as such does not have a proprietary cryptocurrency. That didn't stop bad actors from pretending.

Official account violated

Yesterday, an unknown villain managed to gain control of Robinhood's official Twitter account and used it to post a now-deleted tweet promoting $RBH, Robinhood's supposedly newly minted token. The company does not have a native cryptocurrency and has never minted a token itself. Instead, investors can cast their lot on the platform by purchasing the NASDAQ-listed stock HOOD.

Looks like Robinhood's social media has been hacked

They only got about 10 people to bite on the scam token before the link was taken down.

So far the token has only seen purchases of <$1000. I imagine the people crowding in now have seen the volume increase and are looking for a thrill. pic.twitter.com/qladVaSzrI

— Conor (@jconorgogan) January 25, 2023

Additionally, according to blockchain security research tools, the token is a honeypot – meaning that once purchased, the new owner cannot sell it or even transfer it to another wallet.

Generally, this type of attack is carried out by an attacker impersonating a known person or platform and is therefore easier to detect.

However, since the scam was promoted on Robinhood's verified social media, it is easy to understand why more people would fall for the bait.

FOMO tactics used

To get users to hurry up and buy before the bad actor's account could be banned, the tweet lured customers with a low token price of just $0.0005, hinting at an incoming moonshot. Fortunately, the damage appears to be minor as the post was taken offline and the account responsible was suspended by Binance's security team.

Furthermore, it is hard to say whether the few people who bought the token were real investors who fell for the scam or trading bots like the ones manipulated by Avraham Eisenberg in a follow-up prank to Mango Markets.

Since the attackers minted their tokens on BSC, the wallet was quickly responsible for the mischief shut down from Binance’s security team.

CZ also weighed in on the matter, advising the community to err on the side of caution and use their better judgment when purchasing a token, even if it appears to be completely legitimate.

Looks like the Robinhood account was hacked and was promoting a coin on BNB Chain. Always think critically, even if the account looks or is real. https://t.co/XSwHIVdEdw

— CZ 🔶 Binance (@cz_binance) January 25, 2023

Robinhood has not yet released an official statement on the matter.

.