FTX users have been targeted in a withdrawal scam, warns Sunil, an advocate for FTX creditors. Sunil took to Twitter to caution account holders about the phishing scam and advised them to refrain from clicking on suspicious links.

The scam involves users receiving deceptive emails that appear to be from FTX Trading, West Realm Shires Services, and FTX EU. These emails falsely promise FTX creditors an exclusive opportunity to immediately withdraw their assets, bypassing waiting periods and legal procedures. One of the fraudulent emails reads:

“We are excited to offer the valued priority clients of FTX Trading Ltd., West Realm Shires Services Inc., and FTX EU Ltd., a special opportunity starting today, Oct. 20, 2023. As a priority client, you can now undergo the withdrawal process for your assets on the FTX platform and deposit them directly into your wallet, eliminating any waiting period and court outcomes.”

The emails specifically target users who are eager to withdraw assets amidst the ongoing legal disputes involving Sam Bankman-Fried, the former CEO of FTX.

This scam has surfaced shortly after FTX creditors achieved a significant milestone by resolving customer property disputes. The revised plan, which awaits approval from a bankruptcy court, aims to provide substantial relief for FTX’s global customer base. Under the proposal, customers will receive over 90% of the distributable value.

FAQs

What is the withdrawal scam targeting FTX users?

The withdrawal scam involves FTX users receiving deceptive emails masquerading as FTX Trading, West Realm Shires Services, and FTX EU. The emails falsely promise immediate asset withdrawals, bypassing waiting periods and legal proceedings.

Who discovered the withdrawal scam?

Sunil, an advocate for FTX creditors, discovered the withdrawal scam and warned FTX account holders about it via Twitter.

Why are FTX users being targeted by scammers?

FTX users are being targeted by scammers due to the ongoing legal disputes involving Sam Bankman-Fried, the former CEO of FTX. The scammers take advantage of users’ desire to withdraw their assets amidst the uncertainty caused by these disputes.

What milestone did FTX creditors achieve recently?

FTX creditors recently achieved a notable milestone by resolving customer property disputes. Pending approval from a bankruptcy court, a revised plan aims to provide substantial relief for FTX’s global customer base, with customers receiving over 90% of the distributable value.

Summary

FTX users have been warned about a deceptive withdrawal scam that targets account holders through phishing emails. The scam falsely promises immediate asset withdrawals, exploiting users’ desire to access their funds amidst ongoing legal disputes. FTX creditors have recently reached a milestone in resolving customer property disputes by proposing a plan that offers significant relief for customers.