USDC Issuer, Circle Dismisses Fake Airdrop, Says, Executive Twitter Was Hacked

The issuer of stablecoin, USDC has dismissed the purported airdrop as fake, stating that the Twitter account of its Chief Strategy Officer was hacked.

The account posted a link appearing to offer holders of the stablecoin USDC a “one-time bonus” of free cryptocurrency. 

Investors King learnt that the hacked account was used to send a series of tweets appearing to address the stablecoin’s recent move away from its dollar peg. One of the tweets authored by the account which is no longer visible stated that Circle “will be distributing a one-time bonus of USDC to all existing holders. 

“This bonus is our way of thanking you for your continued support and trust in USDC,” the tweet partially read. 

However, a link in the tweet which takes users to a website where they will input their wallet details looks suspicious. Prompting some Twitter users to question the authenticity of the link.

Speaking on Wednesday, a spokesperson for Circle however clarified that the Twitter account of the company’s Chief Strategy Officer, Dante Disparte has been “taken over by scammers”. 

Similarly, the company tweeted to protect unsuspecting people stating that “Any link to offers are scams. We are investigating the situation and taking action accordingly,” the tweet read. 

It could be recalled that earlier this month, USDC lost its $1 peg due to the imbroglio that led to the collapse of Silicon Valley Bank. The company revealed it has nearly 8% of its $40 billion in reserves tied up at the collapsed bank. 

Although the stablecoin has regained its position, it, however, traded below $0.87 last Saturday, a situation that has led to a clash of confidence among investors. 

Meanwhile, Bitcoin custodian and licensed private bank Xapo Bank has partnered with Circle to integrate USDC as an alternative to SWIFT. Xapo Bank says that the new feature allows its members to bypass the cumbersome and expensive SWIFT payment system.