TL;DR
- Yat Siu’s X account, chairman of Animoca Brands, was hacked to promote a fake token named ANIMOCA, causing financial losses and confusion.
- The fraudulent token’s value surged by 500% in just five minutes before collapsing after the hacker’s misleading posts were deleted.
- Yat Siu confirmed that attackers bypassed two-factor authentication and vowed to disclose X’s security vulnerabilities to prevent future incidents.
In a concerning cybersecurity breach, the X account (formerly Twitter) of Yat Siu, executive chairman of Animoca Brands, was hacked to promote a fraudulent token named ANIMOCA. The company, known for its leadership in the Web3 sector and involvement in over 540 projects, including OpenSea and Axie Infinity, confirmed the attack and urged users to avoid engaging with the compromised account.
The hack not only tarnished Siu’s reputation but also triggered immediate financial consequences. The fake token, created on the pump.fun platform, was falsely presented as an official Animoca Brands project. Within minutes, its value skyrocketed by 500%, only to plummet when the fraudulent posts were removed, leaving several users exposed to potential losses.
Persistent Threats in the Crypto Space
After regaining control of his account, Yat Siu used a secondary profile to inform the public about the incident. He explained that the attackers managed to bypass the two-factor authentication (2FA) system, a standard security measure designed to protect vulnerable accounts. Siu also promised to collaborate with X’s support team and share insights into the platform’s security flaws and areas for improvement.
This incident is not an isolated case in the crypto ecosystem. In 2023, hackers stole $100,000 by compromising Anthropic’s account to promote a fake token called CLAUDE. Similarly, the rapper Drake’s account was hacked to promote another fraudulent project, showcasing how pervasive such threats remain.
A recent Cyvers report highlighted that access control vulnerabilities remain the leading risk in the Web3 space, accounting for losses exceeding $1.9 billion in 2024.
Animoca Brands clarified that it has no plans to launch an official token named ANIMOCA and urged the community to remain vigilant. This incident underscores the importance of verifying official sources before engaging with new projects and highlights how cybercriminals increasingly exploit social media platforms to execute large-scale financial frauds.
