Criminals Increasingly Targeting Non-Fungible Tokens (NFTs)
A new report says that criminals are increasingly targeting non-fungible tokens (NFTs).
NFTs have become a target for criminals because of their popularity and the large amounts of money that can be made from them. The report says that there have been a number of scams and hacks targeting NFTs, and that these are likely to continue.
The report recommends that people who own or use NFTs take steps to protect themselves, such as keeping their private keys safe and being careful about who they trust with their NFTs.
- Nonfungible tokens, or NFTs, have been appearing more frequently in headlines lately as criminals are drawn to their value and potential for use in money laundering schemes. As the popularity and value of NFTs continue to grow, it’s important for everyone to be aware of the risks associated with them.
- More than $100 million worth of these blockchain-based assets were reported stolen in scams over the past year
- NFTs have been on the rise in popularity, but with this newfound fame comes a new batch of criminals. In July, over 4,600 NFTs were stolen in what is being called the largest heist of its kind. This is a 169% increase from the month prior, according to data collected by Elliptic. While the value of NFTs has been steadily increasing, it’s important to remember that they are still vulnerable to theft and loss.
- over $8 million in proceeds from illicit activities has been laundered through platforms that facilitate the creation, buying and selling of NFTs
- Another $328 million that went through the platforms came from so-called obfuscation services, such as mixers that enable users to exchange cryptocurrencies with relative anonymity, and may also include illegally made money
Here is the Wall Street Journal link for more detail.
