Cardano X Account Hacked, $500K Scam Unleashed

The Cardano Foundation’s X account was hacked on Sunday, leading to two false announcements: the launch of a Solana-based token and a fabricated SEC lawsuit against the organization.

The breach triggered confusion among Cardano (ADA) holders and traders, highlighting the ongoing security vulnerabilities on social platforms.

False Token Launch on Solana

The attackers first used the compromised account to announce a fake Solana-based token called $ADASOL. The posts described it as:

“Cardano, reimagined for Solana’s speed and innovation.”

Unlike typical scams, the thread was unusually sophisticated:

• It spanned 13 detailed posts explaining the supposed purpose of the token.
• It included genuine links to the Cardano Foundation’s website and a related podcast episode.

The convincing nature of the posts led to over $500,000 in trading volume, according to DexScreener, before traders began to realize the token was fraudulent.

Fake SEC Lawsuit Announcement

Shortly after removing the $ADASOL post, the attackers posted another false message, claiming that the Cardano Foundation had been served with an SEC lawsuit.

The post read:

“We have made the difficult decision to immediately cease all support towards the $ADA token to ensure compliance with regulatory requirements.”

This false announcement caused further panic, garnering 256,000 views before the community flagged the account as compromised.

Cardano Community Responds

The Cardano Foundation quickly moved to contain the situation. A team lead confirmed the hack, responding to a concerned community member:

“Confirmed, we’re on it.”

The Cardano Community X account later clarified:

“The Cardano Foundation X account @Cardano_CF has been compromised. Please ignore any posts from the account at this time while we address this.”

In an official statement, the Cardano Foundation reassured users that:

• The team is “actively working to restore security.”
• A confirmation of restored access will be posted to its LinkedIn page.
• The breach “does not indicate any other platforms or systems are compromised.”

Security Lessons for the Crypto Community

The incident highlights the ongoing risks of social platform hacks, which remain a favored tactic for spreading scams in the crypto space.

Despite Cardano’s swift response, the $500K in trading volume underscores how convincing exploits can manipulate traders, particularly when tied to high-profile blockchain entities.

The community’s vigilance and timely clarifications from official sources helped mitigate further damage.

Conclusion

The breach of Cardano Foundation’s X account caused confusion, triggering fraudulent trading and false SEC concerns. While no systems beyond the X account were compromised, the incident underscores the critical need for heightened social media security in crypto.

The Cardano team’s quick response reassured the community, though the event serves as a cautionary tale for both users and platforms.