Australian authorities have launched an urgent crackdown on a sophisticated cryptocurrency scam that has been deceiving victims by impersonating Binance, one of the world’s largest cryptocurrency exchanges. 

In a joint effort between the Australian Federal Police (AFP), the National Anti-Scam Centre (NASC), and Binance Australia, more than 130 potential victims have been identified and warned about the fraudulent scheme. 

The scammers used SMS and encrypted messaging platforms, posing as Binance representatives to trick victims into transferring their cryptocurrency to a fraudulent ‘trust wallet’—a move that ultimately handed over their funds to criminals.

The fraudsters contacted victims under the guise of urgent security alerts, claiming that their Binance accounts had been breached. 

The messages, which often appeared within genuine Binance communication threads through a tactic known as spoofing, contained fake verification codes and a support phone number. When victims called for assistance, they were instructed to secure their assets by transferring them to a separate trust wallet, which was secretly controlled by the scammers.

Authorities discovered the scheme through messages found on an end-to-end encryption platform, highlighting the growing challenge of tracking criminals operating in private digital spaces. 

The scam was identified as part of Operation Firestorm, a global initiative launched in 2024 to tackle offshore romance, cryptocurrency, and investment scams targeting Australians.

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AFP Commander of Cybercrime Operations Graeme Marshall warned that once funds are transferred to a scammer’s wallet, they are quickly funneled through a web of digital wallets and laundering accounts, making recovery extremely difficult. He emphasized that the AFP has worked closely with the NASC to ensure that any victims in Australia targeted by these scammers were identified swiftly and given advice to help protect their cryptocurrency accounts. 

Marshall urged anyone who received an official warning via SMS or email from the NASC to take it seriously. If money had already been transferred, victims should immediately report the incident to their bank or digital currency exchange and then file a police report via ReportCyber using reference number AFP-068.

Impersonation scams have become a widespread tactic for fraudsters, with criminals mimicking legitimate organizations—including banks, government agencies, and major cryptocurrency platforms—to exploit people’s trust. 

Australian Competition & Consumer Commission Deputy Chair Catriona Lowe emphasized the importance of verifying all communications, even those that appear to come from trusted sources. She warned that scammers go to significant lengths to create the appearance of legitimacy and urged Australians to contact an organization directly using official contact details from their website or app to verify any communication they receive.

Binance’s Chief Security Officer Jimmy Su reiterated that protecting users is a top priority, adding that scammers manipulate telecom loopholes to spoof sender names and phone numbers to create a sense of urgency and trick people into handing over their funds. 

Su encouraged users to verify communications using Binance Verify, an official tool designed to confirm Binance channels, and reminded them never to share sensitive information like seed phrases or transfer funds under pressure. He stressed the importance of stopping to verify any urgent security alerts through official Binance sources before taking action.

Authorities have outlined key warning signs that can help Australians avoid falling victim to impersonation scams. Unsolicited messages about an account breach, requests for sensitive information, and pressure to act quickly are major red flags. 

To stay safe, Australians are advised to avoid clicking on links or downloading attachments from unsolicited messages, verify all communications by contacting the organization directly via official channels, update security settings, and keep software up to date to prevent potential cyberattacks. They should never share sensitive details, including passwords or cryptocurrency wallet seed phrases.

If someone suspects they have been scammed, authorities recommend reporting it immediately to police via ReportCyber with reference AFP-068, notifying their digital currency exchange provider to see if any action can be taken, ceasing all contact with the scammers, and reporting the scam to Scamwatch to help prevent others from falling victim. 

Those concerned that their personal identity has been compromised can seek assistance from IDCARE, Australia’s national identity and cyber support service.