Minister’s account was hijacked in order to promote bogus cryptocurrency
Gillian Keegan, a British politician serving as Secretary of State for Education, was recently subject to a Twitter hack.
Her account tweeted cryptocurrency-related messages and changed to the profile of controversial billionaire Elon Musk.
The tweets were about a bogus event supposedly hosted by Musk’s companies (Twitter and Tesla). It was promoting a “special giveaway for all our fans and the crypto community.” Users were promised free Dogecoin (DOGE), Bitcoin (BTC) and Ethereum (ETH).
The hack occurred at around 7:30pm on Christmas Day, with tweets being posted for more than 12 hours afterward before being taken down.
This is not the first time such an incident has happened: in July, hackers took over the Twitter and YouTube accounts of the British army to promote fake cryptocurrency giveaways.
Even with Musk having publicly stated his recent intent to crack down on spam and malicious content since his company takeover in October, he has not been successful so far.
As reported by U.Today, Peter Brandt recently described Musk’s crusade against bots as a farce, with mass layoffs severely limiting the staff’s resources.
No, Cardano creator Charles Hoskinson is not giving away 100 million ADA tokens following the Vasil upgrade
The official Twitter account of Canadian actor Will Sasso has been hacked in order to promote a Cardano (ADA) scam.
Sasso’s picture has been replaced with that of Input Output CEO Charles Hoskinson.
The hacked account is currently spamming a tweet, which falsely claims that the firm behind the Cardano blockchain has organized a massive giveaway following the successful launch of the Vasil hard fork that took place earlier this week.
Of course, Input Output is not giving away 100 million ADA tokens, and Twitter users should be careful not to click the link in the tweet. Hackers are attempting to bait gullible and greedy users into going to a fraudulent website and parting ways with their crypto.
Ads
Sasso’s account has not been recovered at press time. The Canadian actor is known for starring in the hit sitcom “How I Met Your Mother,” the sketch comedy “Mad TV,” and other projects.
Even though cryptocurrency scammers continue to use the same playbook, Twitter apparently finds it hard to crack down on them. Over the past few weeks, plenty of verified accounts have been hacked in order to impersonate prominent cryptocurrency personalities.
As reported by U.Today, the official Twitter account of Oman’s Indian embassy was hacked last week in order to promote an XRP scam by using the identity of Ripple CEO Brad Garlingouse.
There’s been a huge influx of compromised Twitter accounts impersonating Ethereum co-founder Vitalik Buterin on the cusp of the recent Merge upgrade that went live on Sept. 15 and generated plenty of press coverage.
- Dogecoin co-creator Jackson Palmer said it irked him when the currency surged in the 2021 meme-trading frenzy.
- Palmer told Insider he sees Elon Musk’s Dogecoin support as him “building an army” of misfit communities.
- The engineer has traded jabs with the billionaire in the past.
Dogecoin co-creator Jackson Palmer said it bothered him when Elon Musk and WallStreetBets’ copycat Reddit group SatoshiBets attempted to send the meme currency “to the moon” last year.
In an interview with Insider, Palmer said he’s grown weary of being “dragged” into conversations around the currency he helped create over eight years ago. At the time, he saw Dogecoin as a “hobby’ — now he said it’s become a nuisance.
“It all kind of annoyed me because it was this thing that had my name tied to it. I don’t think people realize it, but I wish that when something happened with Dogecoin and Elon Musk and my Dogecoin cofounder Billy [Markus] that I didn’t get dragged back into it,” Palmer said.
“Even when I had completely deleted all social media it continued to follow me around like a bad smell,” he added.
The Adobe engineer told Insider he wasn’t surprised when Musk began promoting Dogecoin on Twitter as early as 2019.
The billionaire appears to be close friends with the other creator of Dogecoin, Billy Markus. Musk has said he’s worked with developers on the digital currency in the past and that he supports Dogecoin in an effort to be an ally to “people who are not that wealthy.”
In 2021, Musk was one of the currency’s biggest proponents — often sending Dogecoin’s price soaring with a single tweet. He even revealed plans to launch a crypto-themed satellite named “Doge-1” to the moon this year.
But, Palmer said he sees Musk’s interest in Dogecoin as a tactic, a means to “latch onto communities” in an effort to “absorb them into his cult of personality.”
“He does this on several topics. Look at how a lot of the free speech, right-wingers have all kind of become big Elon Musk supporters,” Palmer told Insider. “That’s beneficial to him because he’s kind of building his army, taking in the tribes of all these different kinds of misfit communities that are extremely dedicated and extremely passionate.”
A spokesperson for Musk did not respond to a request for comment from Insider ahead of publication.
It’s not the first time that Palmer has commented on the richest man in the world. Earlier this year, the Dogecoin co-creator called Musk a “grifter” and accused the Tesla CEO of being unable to run basic code, citing an instance several years ago when the billionaire allegedly didn’t know how to run a Python script that Palmer sent him.
The engineer told Insider he hasn’t communicated with Musk since, but the billionaire was quick to slam Palmer on Twitter over his comments. In a series of tweets, Musk said his kids could have written better code at the age of 12 and alleged Palmer “never wrote a single line of Dogecoin code.”
The Dogecoin creator said it was a sobering incident, as Musk fans descended on him.
“I’ve made a conscious effort since then to not talk about him because it’s not worth it. I can let them have their fantasies,” Palmer said.
“I used to be a lot more willing to get into the debates and have online debates. But, I don’t think they’re a very useful thing to do anymore. My approach is just to say what I’m thinking and try to be as objective as possible and just say, ‘This is what I believe in, take it or leave it,'” he added.
Palmer isn’t the only one who’s questioned Musk’s support of the meme currency. On Tuesday, seven new plaintiffs entered an ongoing $258 billion lawsuit against the billionaire. The lawsuit was originally filed in June, and alleges that Musk and his companies are promoting a “crypto pyramid scheme.”
Elon Musk is an avid supporter of the cryptocurrency Dogecoin. He has promoted the meme-coin multiple times, causing the coin to rise in value. The tech billionaire is also a self-proclaimed ‘Doge father’. However, on Thursday, a Dogecoin investor sued Musk for $258 billion accusing him of running a pyramid scheme to support the cryptocurrency.
Keith Johnson accused Musk, the CEO of electric car company Tesla Inc and space tourism company SpaceX of racketeering for touting Dogecoin and driving up its price, only to manipulate the price of the coin. We take a look at the issue at hand and all the times Musk promoted the meme-coin and caused a movement in the price of the coin.
Dogecoin started as satire
Dogecoin was created in 2013 by software engineers Billy Markus and Jackson Palmer as a faster but “fun” alternative to Bitcoin. It was started as a satire on the numerous fraud crypto coins that had sprung up at the time and takes its name and logo from a Shiba Inu meme that was viral several years ago. Unlike Bitcoins, whose maximum possible number is fixed at 21 million (a figure that is estimated to be reached by 2040), Dogecoin numbers do not have an upper limit, and there are already more than 100 billion in existence.
Musk’s Dogecoin love-affair
It all started in April 2021, when Musk in a cryptic tweet said, “Doge barking at the moon.” The value of Dogecoin soared to $0.45 (approximately Rs 34). After a couple of days, he teased his followers about the possibility of Dogecoin featuring in his ‘Saturday Night Live’ hosting debut.
The value of Dogecoin surged by as much as 20 per cent after Musk called himself the “Dogefather” in the tweet. He even changed his Twitter bio to “Former CEO of Dogecoin.”
‘Can make Defi accessible’
Musk endorsed Dogecoin over Ethereum saying that DOGE can be used to make Decentralised Finance (DeFi) more accessible to everyone. DeFi system is a blockchain-based form of finance that does not rely on financial intermediaries such as brokerages, exchanges, or any banks to offer services. Such platforms allow users to keep custody of their Ethereum-based crypto assets.
Musk was responding to a CoinDesk story on Twitter, about how Ethereum-based DeFi protocols are becoming inaccessible to small investors due to high transaction fees. Musk tweeted a one-word reply under this story, “Dooooge”, referring to his favourite cryptocurrency, the Dogecoin. This again boomed the price of the crypto asset.
Tesla to accept Dogecoin
Musk announced in January that Tesla will accept meme-based cryptocurrency Dogecoin as payment for its merchandise such as the “Giga Texas” belt buckle and mini models of electric vehicles.
The move sent Dogecoin prices 14 per cent higher. Tesla’s merchandise includes the recently launched “Cyberwhistle” and “Cyberquad for Kids”, which are a hit with its fans, and usually sell out within a few hours of listing. “Some have noted that goods for doge are selling out even faster than for dollars.
‘Better than Bitcoin ‘
Billionaire and Tesla CEO Musk believe that Dogecoin is better for transactions as compared to Bitcoin. In an interview with Time magazine, the Tesla and SpaceX chief said when it comes to transactions per day, Dogecoin is a way better crypto coin.
“The transaction value of Bitcoin is low and the cost per transaction is high. At least at a space level, it is suitable as a store of value. But fundamentally, Bitcoin is not a good substitute for transactional currency,” adding that even though Dogecoin was created as a silly joke, it is better suited for transactions. “The total transaction flow that you do with Dogecoin is transactions per day has a much higher potential than Bitcoin.”
Elon Musk nudges McDonald’s
Dogecoin witnessed a spike in value after Musk said that he will eat McDonald’s Happy Meal on television only if the American fast-food chain accepts meme-based cryptocurrency. Happy Meal is a kid’s meal sold by McDonald’s in a red cardboard box with a yellow smiley face. The meal comes with a toy. Responding to Musk’s tweet, McDonald’s responded by saying that they would but “only if Tesla accepts Grimacecoin.”
Dogecoin as payment at Supercharging station
The tech billionaire announced on Twitter that its supercharging station at Santa Monica will soon accept cryptocurrency Dogecoin as a mode of payment. Following the announcement, Dogecoin’s price witnessed upward movement.
In a tweet, Ryan Zohoury, founder of Tesla Console, said that only ten minutes after the new Santa Monica Superchargers were opened they were already full. Responding to this, Musk said that he has planned a futuristic diner or drive-in theatre at the Supercharging station, “and of course, you can pay in Ðoge.”
Twitter should accept Doge
Musk after its Twitter acquisition shared ideas for how Twitter should charge for its subscription membership, saying the fee “should be proportionate to affordability and in local currency,” and adding: “Maybe even an option to pay in Doge?” referring to the Dogecoin cryptocurrency.
- Paris Hilton endorsed the Shiba Inu coin last week.
- Influencers like Matt Damon, Reese Witherspoon, Kim Kardashian or Floyd Mayweather, have been criticized for hyping virtual currencies without highlighting the risks.
- Other celebrities like Logan Paul or Paul Pierce could be facing legal issues for promoting cryptos.
Paris Hilton’s endorsement of Shiba Inu through her Twitter account didn’t stop the meme coin from plummeting lower. Analysts believe Shiba Inu price downtrend could continue and the meme token could suffer further losses.
Also read: Why Shiba Inu price is back where it traded one year ago
Influencers in Australia face up to five years in jail for this
Influencers that target financial investors, popularly known as “finfleuncers”, now risk five years of jail time if they break laws on financial advice in Australia. The Australian Securities and Investments Commission (ASIC) says that influencers may need a license to give advice on investments.
A survey conducted by ASIC revealed that 33% of investors between 18 and 21 years of age follow finfluencers. The survey revealed that the behavior of 64% of young people in Australia is influenced by influencers and their endorsements.
Cathie Armour, ASIC commissioner, was quoted as saying,
Influencers who discuss financial products and services online comply with the financial services laws. If they don’t, they risk substantial penalties and put investors at risk.
The ASIC has circulated an information sheet to guide influencers. The sheet gives a number of examples of statements that qualify as financial advice and warns against making misleading or deceptive remarks about financial products. A violation of the guidelines could count as an event where the influencer broke the law.
Aleks Nikolic, a financial investment influencer on Instagram, TikTok and Twitter, found the document useful for guiding content creation.
Nikolic said,
I think it’s some of their clearest and best comms they’ve ever put out, potentially ever. Obviously everyone will now madly scramble to become compliant, but that was the point.
Interestingly, ASIC pointed out that sharing affiliate links that send investors to online brokers could count as financial advice and this could require a license.
UK Financial Conduct Authority urges caution over influencers
The Financial Conduct Authority (FCA) is the conduct regulator of around 51,000 financial services firms and markets in the UK. In February 2022, the authority urged caution over the use of influencers in marketing of financial products, sharing financial advice.
The watchdog was quoted as saying,
Retail investments’ use of social media influencers on various platforms to market investments is becoming a concern for us. Firms should ensure they have taken appropriate legal advice to understand their responsibilities prior to using influencers.
Charles Randell, FCA Chairman, accused influencers who promote cryptocurrency by accusing them of fueling a “delusion of quick riches.”
The UK Treasury dealt with the menace of crypto-asset promotions and misleading financial advice by proposing new laws in January 2022. These laws make “qualifying crypto-assets” subject to the same rules as other financial promotions, applied to stocks, shares and insurance products.
Spain revealed new rules for advertising crypto-assets
In January 2022, Spain’s National Securities Market Commission, also known as the CNMV, unveiled plans to implement new rules for the advertising of cryptocurrencies. This includes the promotion of crypto assets on social media platforms by influencers.
Spain has therefore tasked its stock market watchdog with the authorization of mass campaigns and the responsibility of ensuring that investors are aware of associated risks.
The Spanish government had issued an official bulletin for advertisers asking them to inform the CNMV at least 10 days in advance and share the content of campaigns targeting more than 100,000 people.
The volatility in cryptocurrency assets has garnered the attention of regulators worldwide, and financial authorities fear the financial system is at risk if crypto assets and their marketing activities by influencers are not monitored.
Logan Paul and Dink Doink collapse
Logan Paul is the influencer behind the wipeout of his followers’ investments in an asset called Dink Doink. Paul told his six million followers on Twitter that he was all in on a new cryptocurrency called Dink Doink.
Paul failed to reveal that he was friends with the project’s creator. Dink Doink was actually their idea together and he received a large allocation of the cryptocurrency at its launch. While investors poured in capital expecting to receive shares of a cartoon character that would entitle them to a portion of the proceeds when it featured in a TV show or a movie, Dink Doink’s price plummeted to a fraction of a cent, wiping out nearly all of its market value. Paul faced backlash and criticism from his followers.
Matt Damon criticized for Crypto.com ad
Matt Damon, a popular Hollywood star, convinced investors to buy Bitcoin or other cryptocurrencies through his Crypto.com ad that said, ”fortune favors the brave.” Investors that purchased Bitcoin at its near-record high are currently under water and have substantially less funds than their initial investment.
When Damon featured in the advertisement that was aired on television and online, it was a turning point for the crypto community, mass euphoria since Bitcoin price crossed $58,000 in October 2021.
Matt Damon in a Crypto.com ad
Crypto influencers dig gold, looking for the next Dogecoin
Kim Kardashian, Floyd Mayweather and Paul Pierce are other celebrity influencers known to have made millions of dollars endorsing dubious cryptocurrencies. These celebrities have urged their followers to pour money into obscure coins that crash overnight or less-popular collections of NFTs.
There have been instances of failure in disclosing personal and financial ties to projects advertised on their social media handles, and this is considered a potential violation of federal marketing regulations.
John Reed Stark, former chief of the internet enforcement branch at the Securities and Exchange Commission criticized such behavior by influencers and said,
You have this shameless profiteering from celebrities and others, who aren’t at all disinterested or impartial. There is a lot of potential for harm.
Reese Witherspoon recently confused her followers with a bizarre tweet regarding “crypto wallets”, “digital identities”.
The Hollywood star tweeted on January 11, 2022:
In the (near) future, every person will have a parallel digital identity. Avatars, crypto wallets, digital goods will be the norm.
In the (near) future, every person will have a parallel digital identity. Avatars, crypto wallets, digital goods will be the norm. Are you planning for this?
— Reese Witherspoon (@ReeseW) January 11, 2022
Witherspoon asked her followers if they were planning for this, and there was no specific reason for sending out the tweet. However, soon Witherspoon was hit for “scam artistry” slammed for misleading crypto advertising, lack of disclosures.
Lawsuits on wrongful advertising and financial advice
There have been instances of celebrity influencers getting slammed with lawsuits from investors. Kim Kardashian, Floyd Mayweather and Paul Pierce are currently facing a lawsuit for the marketing of EthereumMax, an obscure cryptocurrency project.
Kim, Floyd and Paul are among seven celebrities hit by the lawsuit. The popular star from “The Kardashians” show had asked over 200 million followers on her Instagram,
Are you guys into crypto???? This is not financial advice but sharing what my friends just told me about the Ethereum Max token!
Kim Kardashian’s promotion of EthereumMax
EthereumMax lost 97% of its value within seven months and celebrities that promoted the token are now in hot water. Ryan Huegerich filed the class action lawsuit on January 7 in the US District Court for the Central District of California and accuses these celebrities of making
false or misleading statements to investors about EthereumMax through social media advertisements and other promotional activities.
An EthereumMax representative told the Wall Street Journal that Kim Kardashian’s post was simply intended to raise awareness of the project and its utility.
Key Takeaways:
- A few days after announcing that Bitrue is adding cryptocurrency SundaeSwap (SUNDAE) to its trading platform.
- Sundaeswap, a decentralized trading protocol based on the Cardano network, has grabbed crypto enthusiasts’ attention since its January 2022 launch.
- Bitrue is a new crypto exchange that facilitates trading, crypto-lending, and investments.
A few days after announcing that it’d be adding cryptocurrency SundaeSwap (SUNDAE) to its trading platform, the top crypto exchange Bitrue seems to be teasing a major announcement for the Cardano ecosystem in a show of solidarity.
Sundaeswap, a decentralized trading protocol based on the Cardano network, has grabbed crypto enthusiasts’ attention since its January 2022 launch. Based on the cryptocurrency’s buzz, the Cardano network community is pleased with the news.
Related articles
Chiliz Price Analysis: Holders of CHZ experiencing price under bear’s grip
Miota Price Analysis: After an intense consolidation phase, IOTA investors struggle for a recovery
In response to this recent controversy, Bitrue has revealed that it will be making a special announcement at a later date. A spokesperson for the exchange declared that it would be showing its support to Cardano. The cryptocurrency exchange has been extremely vocal in the past regarding their affiliation with Cardano’s platform and they were also the very first company to launch “OccamFi,” an investment product linked to ADA’s reputation and future market performance.
Bitrue’s relationship with Cardano
Bitrue has been involved with Cardano projects for quite some time now. From the very early days, Bitrue was working with Cardano to enable the trading of native assets on their platform and were also one of the first exchanges to launch stake pools, allowing CDT holders to earn more by allowing their tokens to be delegated to a community pool operated by people they could trust.
“We’re very excited to add ADA to the wide selection of cryptocurrencies we offer on Bitrue, as Cardano has some impressive throughput that many new tokens are starting to utilize especially when looking at the increased transaction speeds compared to other blockchains in the market today. Adam O’Neill, Chief Marketing Officer Bitrue
Listing SUNDAE
SUNDAE is a token that Bitrue is pleased to support. SundaeSwap is the very first project to utilize Cardano’s new smart contract technology. Mr. O’Neil believes that it is an ideological leader in offering fair financial services to people globally via decentralized networks.
From Feb 14th, 2022, Bitrue has been enabled trading between USDT and SUNDAE as token pairs. Some other popular pairing choices are Bitcoin (BTC), Ethereum (ETH), Ripple (XRP), and many more at Bitrue!
Bittrue
Bitrue is a new crypto exchange that facilitates trading, crypto-lending, and investments. Bitrue intends to use blockchain technology to provide financial possibilities to everyone, regardless of geography or financial situation. Their global team is committed to supporting the digital gold of the next era by creating state-of-the-art services and products with their 2018 team members spread all over the world in Korea, Japan, South America, and Europe.
Antonio K Smith