- Binance co-CEO Yi He’s WeChat was hacked to promote a meme coin, triggering FOMO.
- The attacker profited $55,000 by buying MUBARA tokens early and selling during the rally.
- Lookonchain tracks the hack as a pump-and-dump using a compromised account and token.
Binance founder Changpeng Zhao has alerted users that the WeChat account of the exchange’s new co-CEO, Yi He, was compromised and used to promote a meme coin. Zhao stated that attackers exploited Yi He’s account to promote meme coin offers and advised followers not to engage with the posts.
He said, Web2 social media security is not so strong. Stay safu! and said, I hope it will not be my turn next. I haven’t used WeChat in years. I will not be promoting any meme CA directly as well. Please, everyone, stay safe.”
Binance Highlights Yi He’s Contribution to Leadership and Vision
In response, Yi He said that she had not used WeChat in a long time, that her phone number associated with the app had been seized, and that she was unable to recover it. The hack happened about a week following the Binance appointment of Yi He as co-CEO at a June Binance Blockchain Week event.
Richard Teng, co-founder, admitted that Yi He has contributed to the culture, vision, and user-centric philosophy of the exchange since the beginning and has described her as a driving force. He further added that she had been promoted as a natural progression in the development of leadership at Binance as the company struggles to reach one billion users.
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On-chain data shows that, within a very short time, the hack was converted into a trading scheme. The analytics platform Lookonchain described the incident as an account-hacked pump-and-dump of a lesser-known token called Mubarakah (MUBARA) on decentralized platforms.
MUBARA Token Price Soars as Hackers Capitalize on WeChat Promotion
As the analysis demonstrates, an attacker gained access to the WeChat account of Yi He and utilized the seemingly legitimate endorsement to produce FOMO corresponding to MUBARA. In just a few hours, two new wallets were developed and began buying the token through PancakeSwap and other decentralized markets, spending a total of 19,479 USDT to acquire a total of around 21.16M MUBARA.
As traders went along with the promotion of WeChat, the price of the token and trading volume shot up with a steep rise on Dexscreener charts.
After adding liquidity, the wallets started selling into the rally. Lookonchain assesses that the attacker has already sold 11.95 million MUBARAs at 43,520 USDT and has 9.21 million tokens left to sell, totaling approximately $31,000, which means that the total profit will be nearly $55,000.
Practically, the attacker purchased at a low price, took advantage of the stolen account to create retail demand, and then sold much of the position when the price soared, leaving other buyers afterwards at risk of a rapid price rollback. The other tokens provide the hacker with additional space to sell in case the liquidity persists.
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