BREAKING NEWS

Investors have been alerted by Ripple CTO David Schwartz to an ongoing scam that preys on customers of the now-defunct cryptocurrency trading platform FTX.

Many unscrupulous individuals have taken advantage of the fact that bankrupt cryptocurrency exchange FTX is getting closer to paying back some of its consumers. Chief tech officer of Ripple David Schwartz recently alerted users to this ongoing attempt and advised them to proceed with caution.

Many FTX customers, according to Schwartz, have received phishing emails from individuals claiming that they must take action in relation to their claims on the insolvent exchange. Typically, these dishonest individuals prey on consumers' anxiety over not receiving their claims, and they could persuade them to link their cryptocurrency wallet in order to confirm their eligibility or expedite the claim procedure.

However, these are attempts to siphon user funds. In an effort to protect customers from this scheme, the Ripple CTO shared an official link to the FTX claims page. The page allows users to check the status of their claims, view their FTX balances and submit their claims at the time the window was still open.

The claims deadline ended on September 29, 2023, with the exchange now processing customer claims and liquidating assets to facilitate the payback. Ripple itself reportedly has $11 million in claims from the FTX bankruptcy estate.

CTO of Ripple Keeps an Eye on the XRP Community

David Schwartz had issued similar cautions on multiple other instances in the past, possibly sparing customers from losing thousands of dollars in a fraudulent sector.

David Schwartz warned in January about fraudulent links that try to trick OpenSea users into clicking on them and stealing NFTs. Additionally, he warned the XRP community last year about possible con artists claiming to be offering airdrops connected to Ripple's legal triumph against the SEC.

Although the Ripple CTO is in favour of customers using their XRP assets to generate passive income, he has cautioned about the possibility of temporary loss with the impending XRP Ledger AMM among the increased excitement.