Binance Co-CEO Yi He’s WeChat Hacked in Scam

Binance co-founder and co-CEO Yi He’s WeChat account was hacked, resulting in a $55,000 loss. Hackers illegally obtained her account, engaging in a pump-and-dump scheme with the “Mubarakah” meme coin.

Yi He confirmed her WeChat breach, describing her phone number as unrecoverable. Changpeng Zhao (CZ), Binance’s founder, urged users to be cautious, noting insecurity in centralized Web2 platforms.

The scam yielded a net profit of $55,000 for hackers. They artificially increased the Mubarakah coin’s value, pocketing significant returns before the market crashed. The incident emphasized vulnerabilities in crypto-related social accounts. Despite no major cryptocurrency like BTC or ETH being directly affected, the pump momentarily boosted Mubarakah’s market cap from $3.1 million to $8 million. The event signifies potential risks in using centralized communication tools in the crypto industry.

On-chain analysis revealed timing strategies akin to insider trading, magnifying concerns about centralized platforms used by notable figures. Such hacks follow a pattern of targeting high-profile accounts to exploit emerging tokens. Experts point to technological shifts towards decentralized means of communication, suggesting better security. Previous incidents and analysis reveal recurring vulnerabilities in current authentication methods, bolstering arguments for innovative security solutions.

Changpeng Zhao (CZ), Founder & Former CEO, Binance, warned users on Twitter (X) to not trust promotions from her compromised account, emphasizing risks from centralized Web2 platforms: “This incident highlights that Web2 social media platforms are not fully secure.”