Creditors of Celsius Network have reported receiving a new wave of phishing emails, most likely due to the 2017 Data breach.
Creditors of the defunct cryptocurrency lender Celsius Network are once again the target of a new surge of phishing attacks as the lender’s bankruptcy proceedings near their conclusion.
In the past week, social media reports have indicated increased phishing attacks by fraudsters posing as Stretto, the insolvency services platform for cryptocurrency lender Celsius and its creditors. On September 18, one user reported receiving three fraudulent emails purporting to be from Celsius.
Others reported receiving phishing emails containing malicious links impersonating Stretto, the claims agent overseeing the bankruptcy case.
Beware of scam email (I received this phishing email -> the scam link shown is "case-stretto. com", not "https://t.co/ZGKIKrPjl1") https://t.co/JV7yUQ6X5e
— Better World (@Scam_is_sinful) September 18, 2023The false website, which omits an’s’ from the legitimate URL, displays a connect wallet prompt that, when clicked, enables the scammers to steal the victim’s crypto assets.
One analyst and business manager predicted that phishing attacks would increase as the conclusion of the Celsius bankruptcy proceedings approached. He suggested taking precautions and verifying all links.
I expect phishing attempts to only increase as the celsius ch.11 approaches what appears to be the final stages. Creditors will be eager to make any final last-minute changes or confirm any alleged distributions. Be extremely cautious, links are bad, and take precautions.
— Keith (@ChazzonKe) September 18, 2023Celsius was authorized to ship out voting ballots to its customers in mid-August for a vote on a proposed settlement plan. Swindlers are utilizing this to intensify their phishing assaults around the election deadline.
According to Simon Dixon, CEO and co-founder of the online investment platform BnkToTheFuture, the final date for voting was September 18, with the report and confirmation hearing scheduled for September 20 and September 29, respectively. On October 2, Celsius plans to seek ultimate court approval of its restructuring plan.
The @BankToTheFuture Investment Banking team have been working on some models to help #Celsius Creditors vote on the disclosure statement that I’ll share on YouTube soon. For now our team has put together a timetable of important events leading up to plan conformation. 🙏 pic.twitter.com/3dQduMAofP
— Simon Dixon (@SimonDixonTwitt) July 12, 2023The phishing attacks originated from prior data breaches, such as a Celsius Network email server intrusion in April 2021 that resulted in the disclosure of user information, which led to the sending of malicious emails to those users.
In July 2022, the troubled crypto lender disclosed that additional customer data had been compromised in a third-party data breach, leading to a new surge of phishing attacks.
Since Celsius discontinued withdrawals in June 2022, following the collapse of the Terra/Luna ecosystem, customers of the crypto lender have been awaiting reimbursement. The cryptocurrency lender declared bankruptcy the subsequent month.
