Compound Finance X Account Hacked: Pink Drainer Scam Exposed

Scam Sniffer and Officer’s Notes, security-related X accounts, report that the X account for the DeFi protocol Compound Finance has been hacked and is currently advertising a phony phishing site.

This information comes from the X account, which was once known as Twitter. At 4:57 p.m. UTC, the account pushed viewers to click on a supplied URL by publishing an offer for “free $COMP tokens.”

The link directs users to compound-labs.xyz, a deceptive website that mimics the official compound.finance website.

However, cybersecurity experts have determined that this website is a hoax. It was at 5:14 UTC that the cybersecurity blogger known as Officer’s Notes posted an alert from their account, urging readers to refrain from clicking on any of the links contained inside the post.

Users were also manipulated by the blockchain security tool Scam Sniffer, which stated that “a phishing link (compound-labs[.]xyz) was spotted 16 hours ago” emanating from the official X account. Scam Sniffer’s post reveals that the hacker is promoting a false phishing website known as the “Pink Drainer scam website.”

This implies that the website in question is a phishing site that makes use of the Pink Drainer software to steal financial information from its customers.

Additionally, the post reveals that blockchain investigator ZachXBT has been successful in tracing money that has been misused by the website. ZachXBT successfully traced the misused funds that were concealed and cleaned using the eXch exchange.