Celebrity-Linked Memecoin Scams Cost Crypto Investors Over $500M in 2024

Memecoin Scams and Celebrity Account Hacks Lead to $500M Losses in 2024, Merkle Science Reports

  • Memecoin-related scams and rug pulls resulted in losses exceeding $500 million in 2024, according to Merkle Science.
  • Social engineering attacks predominantly occurred on X (75%) and YouTube (19%), targeting celebrity accounts.
  • The largest single incident involved footballer Kylian Mbappe’s compromised account, leading to a $460 million rug pull.
  • Both rug pulls and phishing attacks each accounted for 44% of all reported social engineering scams.
  • Scammers specifically targeted high-profile accounts with large followings to maximize impact and credibility.

Cryptocurrency scammers have exploited social media platforms and celebrity impersonation to orchestrate over $500 million in memecoin-related losses during 2024, according to a new report from crypto intelligence firm Merkle Science.

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The surge in social engineering attacks has particularly targeted high-profile social media accounts, with fraudsters employing sophisticated techniques to compromise verified accounts of celebrities and tech influencers. The most notable case involved Kylian Mbappe‘s X account, where attackers promoted a fraudulent token that reached a $460 million market capitalization before collapsing.

Robert Whitaker, director of law enforcement affairs at Merkle Science, emphasized the organized nature of these attacks, stating: “These scams aren’t just opportunistic—they’re highly coordinated operations that exploit trust at scale.”

The report highlights a concerning trend where scammers have evolved beyond traditional crypto theft methods. In another significant incident, music artist Wiz Khalifa‘s account with 35.7 million followers was used to promote a fake WIZ token, which briefly reached a $3.4 million market cap before its value plummeted to zero.

Social engineering attacks in cryptocurrency have historically focused on small-scale phishing attempts, but 2024 has seen a shift toward large-scale, celebrity-driven schemes. The methodology typically involves compromising verified social media accounts to lend legitimacy to fraudulent token launches, capitalizing on the rapid-fire nature of memecoin trading and investors’ fear of missing out (FOMO).

The report reveals a clear platform preference among scammers, with X (formerly Twitter) being the primary battleground for 75% of attacks, followed by YouTube at 19%. The equal distribution between rug pulls and phishing attacks (44% each) suggests scammers are diversifying their tactics while maintaining focus on high-visibility targets.

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