Scammers float fake tokens for social media app Damus: PeckShield

Quick Take

  • Security firm PeckShield warned of 15 fake tokens posing as official tokens for decentralized social media app Damus.
  • The fake tokens have been issued on Ethereum and BNB Chain in an effort to dupe unsuspecting buyers.

Crypto security firm PeckShield issued a warning on fake tokens for the Damus social media app, which it has identified as scams.

The firm discovered 15 fake tokens posing as official tokens for Damus, a new decentralized social media app that has recently reached the top ten free social apps in the iOS app store in the U.S.

The fake tokens are issued on Ethereum and BNB Chain and contain malicious functions in an effort to lure users to buy them. At least one of the 15 scam tokens prevents holders from selling their tokens, known as a honeypot. Most of these tokens have 100% selling taxes, which is a way to steal all funds when buyers try to move funds, PeckShield noted.

PeckShield advised that users should stay vigilant and cautious of these fake tokens. "The scammers are always taking advantage of new and emerging applications to trick innocent users for profit. And we need to keep an eye on these fake tokens and stay alert," said Xuxian Jiang, founder and CEO of PeckShield, in a statement to The Block.

The Damus team also issued a statement, warning users. "Damus does not have a token and will never have a token. If you bought a DAMUS token you have been scammed," it tweeted. 

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