Bitcoin Giant MicroStrategy Hit by X Account Hack, Users Lose Funds in Phishing Scheme

MicroStrategy Inc., renowned for its significant Bitcoin holdings, faced a security breach when its X account fell victim to a phishing scheme, leading unsuspecting users to lose funds.

The incident unfolded on Monday in Asia as an unidentified attacker posted a now-deleted message on the company’s X page, enticing users with a purported promotion for a new coin supposedly backed by MicroStrategy.

Upon clicking the link, users were redirected to a fraudulent website, resulting in approximately $440,000 being stolen from individuals who were deceived by the scam.

Crypto security analysts, including firms like PeckShield and independent investigators like ZachXBT, promptly raised alarms about the compromise of MicroStrategy’s X account.

MicroStrategy, headquartered in Tysons Corner, Virginia, did not immediately respond to inquiries regarding the security breach.

The company’s co-founder, Michael Saylor, has been a vocal advocate for Bitcoin, leading the firm to allocate a substantial portion of its cash reserves into the digital asset, now valued at roughly $10 billion.

The incident underscores the persistent challenges faced by cryptocurrency platforms in safeguarding user accounts against sophisticated cyber threats.

As investigations continue, the broader crypto community remains vigilant against similar phishing exploits, emphasizing the importance of robust security measures in the digital asset ecosystem.