A new type of scam is making its way through the cryptocurrency world, catching users off guard and exploiting their trust. Binance CEO Richard Teng has sounded the alarm about this new scam, called the "share-seed-phrase" scam.
The strategy is simple, yet devastatingly effective. Fraudsters convince users that their wallets have been compromised, and in an effort to protect their funds, victims unknowingly transfer everything to wallets controlled by the fraudsters. The funds disappear, leaving victims with nothing but regret and a painful lesson in digital security.
Alex DovbnyaIt's the perfect scam - fast, efficient and ruthless. It preys on confusion and urgency, two emotions that override rational decision-making. By the time reality sets in, it is already too late.
How do you avoid falling into this trap?
It starts with skepticism. When an alert comes in, stop and think. Look at the source. No legitimate communication from Binance - or any other trusted platform - will ever ask for sensitive information like a seed phrase or private key. And no real security measure involves blindly transferring assets to an unfamiliar wallet.
Scammers thrive on urgency. They push, they pressure, they make it seem like every second of hesitation risks financial ruin. That is a red flag. A moment of doubt, a pause to verify through Binance's official channels, could mean the difference between keeping funds safe and losing them forever.
Tomiwabold OlajideTransferring funds should never be done based on instructions from an unverified source. When in doubt, contacting Binance's official customer support is the best way to clarify whether an alert is real or just another attempt to steal funds.
Vladislav Sopov
Dan Burgin