Kaito AI, an artificial intelligence-powered platform that aggregates crypto data to provide market analysis for users, and its founder Yu Hu, were the victims of an X social media hack on March 15.
In several now-deleted posts, hackers claimed that the Kaito wallets were compromised and advised users that their funds were not safe.
According to DeFi Warhol, the hackers opened up a short position on KAITO tokens before posting the messages in the hopes that users would sell or pull their funds, which would have crashed the price and created profits for the threat actors.
The price of the KAITO token dips, presumably due to a short position. Source: CoinMarketCap
The Kaito AI team regained access to the accounts and reassured users that Kaito token wallets were not compromised in the social media exploit.
“We had high-standard security measures in place to prevent [the hack] — so it seems to be similar or the same as other recent Twitter account hacks,” the Kaito AI team added.
This recent exploit is the latest in a growing list of social media hacks, social engineering scams, and cybersecurity incidents plaguing the crypto industry.
Source: https://cointelegraph.com/
