TLDR
- Australian authorities disrupted a crypto scam impersonating Binance through Operation Firestorm, alerting 130+ potential victims
- Scammers sent fake messages appearing to be from Binance, claiming accounts were breached and directing victims to transfer funds to scammer-controlled “trust wallets”
- The Australian Federal Police, National Anti-Scam Centre, and Binance Australia collaborated to combat the fraud
- Once transferred, funds were quickly moved through networks of wallets and laundering channels, making recovery nearly impossible
- Victims are advised to contact their bank or crypto exchange immediately and report incidents to police via ReportCyber with reference number AFP-068
Australian law enforcement agencies have launched a major crackdown on cryptocurrency scammers who impersonated Binance, the world’s largest crypto exchange by trading volume. The operation has identified over 130 potential victims who were targeted through sophisticated messaging techniques.
The effort involves collaboration between the Australian Federal Police (AFP), National Anti-Scam Centre (NASC), and Binance Australia. They are working together to alert victims and prevent further losses from this elaborate fraud scheme.
The scam was uncovered as part of Operation Firestorm. This global initiative was launched in 2024 to disrupt offshore crime networks that target Australians through various scams.
They posed as Binance representatives
The fraudsters used SMS and encrypted messaging platforms in their scheme. They posed as Binance representatives and claimed that victims’ accounts had been compromised.
What made this scam particularly effective was the use of “spoofing” techniques. The fake messages appeared within legitimate existing message threads from Binance, making them seem authentic to unsuspecting users.
The deceptive messages contained fake verification codes and a support phone number. When victims called this number, they reached imposters who instructed them to protect their accounts.
The scammers told victims to transfer their cryptocurrency to what they called a “trust wallet.” In reality, these wallets were controlled by the criminals, allowing them to steal the transferred assets.
AFP Commander Cybercrime Operations Graeme Marshall explained the difficulties in recovering stolen funds. Once transferred, the cryptocurrency was quickly moved through a network of wallets and money laundering accounts.
“The AFP has worked closely with our partners at the NASC to ensure any victims in Australia targeted by these scammers were identified swiftly,” Commander Marshall said. The collaboration aimed to provide victims with advice to protect their remaining cryptocurrency assets.
Authorities have issued clear instructions for potential victims. Anyone who received warning messages from the NASC is urged to take them very seriously.
Victims who have already transferred cryptocurrency to these fake trust wallets should act quickly. They must report the incident to their bank or digital currency exchange immediately, then file a report with police via ReportCyber.
When reporting to police, victims should quote the reference number AFP-068. This helps authorities track cases related to this specific scam operation.
Australian Competition & Consumer Commission Deputy Chair Catriona Lowe highlighted the growing threat of impersonation scams.
“Impersonation scams rely on people trusting that the text, email or phone call they get is legitimate,” she said.
Ms. Lowe emphasized the need for verification. She urged all Australians to contact organizations directly using official contact details from their website or app before taking action based on received communications.
Binance’s Chief Security Officer Jimmy Su also weighed in on the issue. He stated that protecting users is Binance’s top priority and stressed the importance of education in fighting scams.
“Scammers often impersonate trusted platforms by exploiting certain telecom loopholes to manipulate sender names and phone numbers to create urgency,” Mr. Su explained. He recommended using Binance Verify, the company’s tool for confirming official channels.
The coordinated effort comes amid rising concerns about crypto scams in Australia. According to reports, Australians lost over $1.3 billion to investment scams in 2023, with cryptocurrency scams being a major contributor.
This isn’t Binance’s only challenge in Australia. In December 2024, the Australian Securities and Investments Commission (ASIC) launched legal proceedings against Binance Australia Derivatives. The regulator accused the platform of misclassifying retail investors and denying them essential consumer protections.
Between July 2022 and April 2023, Binance allegedly classified over 500 retail clients—representing 83% of its Australian customer base—as wholesale investors. This error reportedly stripped these investors of crucial legal protections under Australian financial laws.
The crackdown on Binance impersonators is part of a broader effort by Australian authorities to address compliance issues in the cryptocurrency sector. In February 2025, the Australian Transaction Reports and Analysis Centre (AUSTRAC) took regulatory action against 13 crypto firms for compliance failures.
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