Crypto Clipping Targets Cryptocurrency Wallets, ESET Warns

ESET in Latin America looks at the technique called crypto clipping, which is increasingly focusing on cryptocurrency wallets. The company’s warning comes at a time when many users want to withdraw their coins from brokers, indicating a risk situation that needs to be evaluated.

Now that the cryptocurrency market has fallen, it is common for many to choose to pull out of exchanges for safe wallets. Indeed, this practice is recommended for anyone who has Bitcoin or any other digital currency.

When placing assets in a wallet, it is important to investigate to prevent cryptocurrencies from falling into the wallets of criminals, who intercept transactions.

Crypto Clipping Targets Cryptocurrency Wallet

The increasing interest in cryptocurrencies around the world has led many people to join this industry and buy their first coins. However, many leave the coins on exchanges, which is dangerous because companies are constantly targeted by cyber-attacks.

So it is common to look for secure cryptocurrency wallets. And these are also in the crosshairs of cybercriminals, who use their techniques to create mechanisms to intercept unwary users.

Sol González, Information Security Researcher at ESET in Latin America, says the crypto clipping technique is one of them and, while not new, his search for cryptocurrency wallets has increased.

†It is important to note that malware using cryptoclipping is not new. We have seen in recent years that several of the most common trojan families of banks in Latin America, such as Casbaneiro, Mispadu, Janeleiro or some variants of Mekotio, have used the technique to steal money from wallets. Also other malware families that are more widespread worldwide, such as Agent Tesla or less popular, such as BackSwap and KryptoCibule. Also in 2019 malware was detected on Google Play targeting mobile devices.†

This problem affects malware over the Internet, and in December 2021, security researchers discovered the variant called Phorpiex. This one has the mission to steal users when they want to transfer cryptocurrencies.

Moreover, the new variant attracts ransomware to victims’ computers and even Monero miners. Another possibility is to use the victim’s computer for DDoS attacks.

Malware is dangerous. This is how you avoid the problem

This malware has already been used in sexual extortion campaigns, recalls González, who demanded bitcoin from victims after telling them they were caught watching pornographic content.

“This botnet was responsible for one of the largest sextortion campaigns of 2019. It consisted of an email informing the victim that their computer was infected and that they had been filmed visiting adult websites. So if you didn’t pay between $300.00 and $5,000.00 in bitcoins, the scammers would threaten to send your contacts a video visiting the sites.”

To avoid getting caught cryptoclipping and having your cryptocurrency wallet stolen, ESET recommends using antivirus on your device. In addition, it is essential to check the wallet address at the time of the transaction as this can detect if the address has been overwritten by copying and pasting.

Not installing software that is not from official sources, avoiding phishing emails, and beware of fake websites are also critical. The final recommendation is that users who are scared make small trades as a test before sending the full amount.