Ripple Chief Technology Officer (CTO) David Schwartz has issued an important warning about ongoing scams aimed at customers of the now-defunct crypto trading platform FTX. As the bankruptcy proceedings of FTX advance and the possibility of repaying some customers emerges, opportunistic scammers are sprouting up, aiming to prey on unsuspecting victims.
There are some scam emails circulating claiming that you need to do something about your FTX claim. Don’t use the links in those emails. You can check the status of your claim at the official portal:https://t.co/4AvGkii3kh
— David “JoelKatz” Schwartz (@JoelKatz) March 21, 2024
According to Bloomberg, FTX told a bankruptcy judge in January that creditors of the company who can prove their losses are likely to get all of their money back.
In light of this, scammers are reportedly reaching out to FTX customers, offering to expedite the claims process or retrieve assets from the beleaguered exchange. However, these offers are nothing more than a ruse to deceive users and potentially steal (more of) their assets.
Ripple CTO issues warning
The collapse of FTX, one of the largest cryptocurrency exchanges, dealt a serious blow to the crypto industry, causing widespread uncertainty and a loss of trust among investors. In the aftermath, many users have been left in limbo, hoping to recover their funds. It is within this context that the Ripple CTO alerts of scams that are exploiting the situation.
According to Schwartz, scam emails are presently circulating, claiming that customers must take action regarding their FTX claims. These unscrupulous actors generally exploit the fear of customers missing out on their claims, urging them to connect their crypto wallet to verify their eligibility or expedite the claims process.
The Ripple CTO warns users not to click on links on scam emails when sharing the link to the official FTX claims page.
Users should bear in mind that the deadline for filing a proof of claim on account of a customer claim has passed – Sept. 29, 2023.