• Hackers broke into Robinhood’s social media accounts to promote a fraudulent coin called RBH.
• The token was initially priced at $0.005 with no creator or tokenomics information.
• Binance CEO Changpeng Zhao reported the account had been suspended and Robinhood suspects a third-party vendor was responsible for the breach.
On Wednesday, Robinhood, a prominent US online trading platform, was the target of a malicious cyber attack. Hackers breached the platform’s social media accounts, including Twitter, Instagram, and Facebook, in an attempt to peddle a fraudulent cryptocurrency called RBH. The fake token was initially priced at $0.005 on the Binance Smart Chain, but without providing any information regarding the token’s creator or tokenomics.
This latest cyber attack was quickly noticed by users online, with Twitter user db (@tier10k) being one of the first to alert people to the fraudulent token. The tweet was no longer visible on Robinhood’s account at the time of writing.
Soon after, Binance CEO Changpeng Zhao took to Twitter to report that the account in question had been suspended. However, ZackXBT, an internet inspector, revealed that the fraudsters were able to extract around $8,200 worth of BNB tokens.
In a statement released by Robinhood, the platform admitted that the hacker had been able to post on their social media accounts. They added: “We’re aware of the unauthorized posts from Robinhood Twitter, Instagram, and Facebook profiles, which were all removed within minutes.”
The online trading platform also stated that they believe a third-party vendor was behind the breach. Conor Grogan, director of product business development at cryptocurrency exchange Coinbase, commented on the incident, saying: “This is a problem that we’ve seen in the crypto space for a long time and it’s one of the primary reasons why companies are investing so heavily in security.”
Robbinhood has since released a statement urging users to take extra precaution and ensure their accounts are secure. They have also asked users to report any suspicious activity to their security team.
It is yet unclear whether anyone has been able to access user data or financial information as a result of this attack. However, it serves as a reminder of the importance of security and the need for companies to invest in better security measures.