Cybercriminals have shifted their tactics to exploit trending topics, rebranding scams with popular names like “ChatGPT.” Earlier this year, SlowMist’s founder Cos warned users on X about arbitrage MEV bot fraud. These schemes have since evolved, with scammers now promoting fake bots as “ChatGPT Arbitrage MEV Bots.”
These fraudulent bots claim to monitor the Ethereum blockchain for arbitrage opportunities, offering users passive profits. To seem credible, scammers allege the bot’s code was generated by ChatGPT, calming users’ doubts about its legitimacy.
In reality, this AI reference is a marketing ploy, briefly appearing in low-quality tutorial videos filled with warning signs like recycled footage.
🚨 MEV bot scams are being embedded into tutorials, using AI terms like ChatGPT to build credibility. Scammers promise effortless profits, but victims’ funds are funneled straight into the scammers’ wallets.
Learn more about their tactics and how to protect yourself in our latest article.…
— SlowMist (@SlowMist_Team) October 13, 2024
How the Scam Operates
Users are instructed to deploy a smart contract via MetaMask using code provided by the scammer, purportedly designed to detect token price fluctuations on the Ethereum blockchain. The scam asks users to deposit Ethereum (ETH) into the contract, with larger deposits supposedly yielding higher returns.
Once users deposit funds and click “start,” the scam activates a hidden backdoor that transfers the ETH directly into the scammer’s wallet. Victims unknowingly lose their funds, which are unrecoverable.
One scammer wallet, 0xAE…258122, collected approximately 30 ETH (about $73,860) from over 100 victims. The stolen funds are often funneled through multiple addresses or sent to exchanges to obscure the transaction trail.
The scammers also operate multiple collection addresses, which have stolen around 20 ETH from 93 victims. By targeting numerous individuals for smaller amounts, scammers make it harder for victims to pursue legal recourse.
Despite warnings on platforms like Remix, scams of this nature persist, with users linking scam videos to related articles.
How to Stay Safe in Crypto
The SlowMist security team urges caution with unfamiliar links and AI-branded tools. Users should thoroughly analyze any code before deploying smart contracts, using tools like ChatGPT or Claude to detect potential threats.
These scams underscore the need for vigilance in the cryptocurrency world, where promises of easy gains often lead to financial losses.