Christian Nieves, also known by the aliases Daytwo and PawsOnHips, orchestrated a phishing scheme that defrauded victims of over $4 million in cryptocurrency.
How the Scammer Operated
Nieves posed as a Coinbase support agent and ran a small call center in New York. His operation employed deception to lure unsuspecting victims into creating what they believed were legitimate cryptocurrency wallets on phishing sites. These sites were preloaded with malicious seed phrases that provided full access to the victims' wallets.
Stolen Amount and Gambling Connections
The fraud became apparent when authorities traced over $4 million in stolen cryptocurrency. Much of the illicit gains were quickly converted and funneled into Roobet, a well-known gambling platform. This method of laundering via gambling sites helped obscure the trail of stolen funds.
Lessons and Prevention Tips
To protect against similar schemes, users are advised to: - Always verify support channels: genuine Coinbase support will never call unsolicited; always go through official channels. - Never enter seed phrases from links: always generate your own securely. - Use two-factor authentication (2FA): this adds essential protection to your accounts.
The scam orchestrated by Christian Nieves highlights the importance of vigilance and precautionary measures when dealing with cryptocurrencies. Users should be alert and carefully verify sources to avoid losses.
