Hackers Cause 20% Surge in TRUMP Memecoin, 6% Fluctuation in HYPE Token via DB Account Breach

On March 13, hackers gained control of the X account of DB, a prominent crypto news platform, and disseminated false information about Donald Trump’s TRUMP memecoin and a fabricated BlackRock ETF filing for Hyperliquid. The misleading posts caused an immediate 20% surge in the price of TRUMP, which quickly collapsed, while the fake ETF news led to a separate 6% price fluctuation for Hyperliquid’s HYPE token.

Blockchain analytics firm Lookonchain revealed that a trader attempted to exploit the situation by withdrawing 504,820 USDC from Binance to purchase TRUMP tokens. However, after the truth was exposed, the trader sold at a loss, resulting in a $26,820 loss in USDC within minutes. Following the incident, DB deleted the unauthorized posts and advised users to disregard any information shared during the breach.

This attack on DB’s account is part of a recent pattern of breaches targeting high-profile crypto-related accounts on X. DB noted that its compromised account had no linked third-party apps, no API key leaks, and was protected by YubiKey two-factor authentication. This led the platform to suspect an internal vulnerability or a compromised X employee as the likely source of the breach. DB stated, “[We are] assuming a compromised X employee or similar, all keys and sessions have been reset regardless.”

Web3 security platform Harpie noted similarities to previous attacks on Dogwifcoin, Solana-based Jupiter Exchange, and memecoin launchpad Pump.fun. Blockchain investigator ZachXBT suggested these hacks might stem from social engineering tactics aimed at X employees, potentially manipulating staff with fraudulent documents or exploiting weaknesses in the platform’s internal controls. The increasing frequency of these attacks raises concerns about the security of crypto-related accounts on X.

Over the years, hackers have continued to exploit high-profile platforms to spread false information and deploy phishing schemes that have resulted in significant losses for crypto users. This incident underscores the importance of robust security measures and vigilance in the cryptocurrency space to prevent such manipulations and protect investors from financial losses.