BeenTrade Fake Crypto Exchange
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The website BeenTrade claimed to be a cryptocurrency trading platform. In reality, it directly copied from the popular platform cex.io and allowed deposits but not withdrawals. Multiple users complained about losing funds there before the platform was shut down.
This is a global/international case not involving a specific country.[1][2][3][4]
About BeenTrade
"#Scam alert: some guys had setup a #fake #crypto exchange (many domain names) in which you can only deposit but not withdraw. The domain names looks respectable, UX looks decent (stolen from @cex_io) and they have TLS certs and DDoS protection from @cloudflare."
"Guy will write a message like:"
"I have good amount of BTC on a gambling site, I have reached withdrawing limit and can't get anymore money of there… my irl friends are out of country, they cant help me right now, and I need this money till tomorrow … so the only way I see to ask strangers to help me, if I could send you btc there, could you withdraw it for me? you can take some % of my balance no worries maybe I am stupid and naive cuz of trusting stranger but i really dont have another way."
"He will then convince you to install a browser add-on. And leads you to beentrade which is his site. End result. You lose all your funds."
"Dear @TalBeerySec, let us express our sincere gratitude regarding your profound investigation. We try to fight the impostors back, but they always find a new way to create countless copies. We'll use this information when reporting these websites on our end. Thank you a lot."
This is a global/international case not involving a specific country.
The background of the exchange platform, service, or individuals involved, as it would have been seen or understood at the time of the events.
Include:
- Known history of when and how the service was started.
- What problems does the company or service claim to solve?
- What marketing materials were used by the firm or business?
- Audits performed, and excerpts that may have been included.
- Business registration documents shown (fake or legitimate).
- How were people recruited to participate?
- Public warnings and announcements prior to the event.
Don't Include:
- Any wording which directly states or implies that the business is/was illegitimate, or that a vulnerability existed.
- Anything that wasn't reasonably knowable at the time of the event.
There could be more than one section here. If the same platform is involved with multiple incidents, then it can be linked to a main article page.
The Reality
This sections is included if a case involved deception or information that was unknown at the time. Examples include:
- When the service was actually started (if different than the "official story").
- Who actually ran a service and their own personal history.
- How the service was structured behind the scenes. (For example, there was no "trading bot".)
- Details of what audits reported and how vulnerabilities were missed during auditing.
What Happened
The specific events of the loss and how it came about. What actually happened to cause the loss and some of the events leading up to it.
| Date | Event | Description |
|---|---|---|
| November 4th, 2019 8:31:00 AM MST | Main Event | Expand this into a brief description of what happened and the impact. If multiple lines are necessary, add them here. |
Technical Details
This section includes specific detailed technical analysis of any security breaches which happened. What specific software vulnerabilities contributed to the problem and how were they exploited?
Total Amount Lost
The total amount lost is unknown.
How much was lost and how was it calculated? If there are conflicting reports, which are accurate and where does the discrepancy lie?
Immediate Reactions
How did the various parties involved (firm, platform, management, and/or affected individual(s)) deal with the events? Were services shut down? Were announcements made? Were groups formed?
Ultimate Outcome
What was the end result? Was any investigation done? Were any individuals prosecuted? Was there a lawsuit? Was any tracing done?
Total Amount Recovered
There do not appear to have been any funds recovered in this case.
What funds were recovered? What funds were reimbursed for those affected users?
Ongoing Developments
What parts of this case are still remaining to be concluded?
General Prevention Policies
A key problem in the cryptocurrency space is that launching and registering legitimate platforms is far too challenging and expensive. Therefore, many platforms are forced to operate in an offshore manner. Users become used to sending their money offshore and registering with such platforms, and never check the legitimacy of any platform. Thus, they are vulnerable to imposters like this.
Individual Prevention Policies
No specific policies for individual prevention have yet been identified in this case.
For the full list of how to protect your funds as an individual, check our Prevention Policies for Individuals guide.
Platform Prevention Policies
Policies for platforms to take to prevent this situation have not yet been selected in this case.
For the full list of how to protect your funds as a financial service, check our Prevention Policies for Platforms guide.
Regulatory Prevention Policies
No specific regulatory policies have yet been identified in this case.
For the full list of regulatory policies that can prevent loss, check our Prevention Policies for Regulators guide.
References
- ↑ @TalBeerySec Twitter (Jun 26, 2022)
- ↑ @cex_io Twitter (Jul 26, 2022)
- ↑ https://www.trustpilot.com/review/beentrade.org (Jul 26, 2022)
- ↑ Beentrade Reviews {July 2022} - Beentrade (Legit Or Another Scam?) (Jul 26, 2022)