Australian crypto investors are facing significant financial losses due to an increase in cryptocurrency scams, especially those impersonating Binance, one of the globe’s largest crypto exchanges. On March 20, 2025, the Australian Federal Police (AFP) announced the initiation of a global probe into these crypto scams.

Scammers masquerading as Binance agents reach out through SMS to victims. They generate urgency by claiming there has been unauthorized access to victims’ accounts.

The messages often include fraudulent verification codes and a support phone number. When victims contact the number, they are instructed to transfer assets to a ’trust wallet’ for safety—an account controlled by the scammers, leading to asset loss.

Highlighting a novel approach, these scammers cleverly manipulate SMS technology to spoof legitimate message threads from Binance, obscuring the lines between authentic and deceptive communications.

The Australian Federal Police (@AusFedPolice) and Binance (@binance) are collaborating in countering a rise in scams that impersonate and deceive Australian crypto users under Operation Firestorm.
March 20, 2025

AFP Commander Graeme Marshall stated, “The AFP has co-operated closely with our allies at the NASC to promptly identify victims targeted by these scammers and provide guidance on securing their cryptocurrency accounts.”

Australian Authorities Initiate Operation Firestorm in Collaboration with the NASC and Other International Law Agencies

In light of the escalating scams, Australian authorities have launched Operation Firestorm—a joint effort by the AFP, the National Anti-Scam Centre (NASC), and various international law enforcement agencies. The operation aims to locate and dismantle organizations orchestrating these scams and has so far identified 130 victims across Australia.

Commander Marshall noted the complexities in recovering stolen assets: once transferred to the trust wallet, funds are quickly shuffled through a network of accounts designed for money laundering.

“If you’ve sent your cryptocurrency to a fake trust wallet, notify your bank or digital exchange at once and report it to the police via ReportCyber, referencing AFP-068,” Marshall reiterated.

In response to recent scams, the Australian government has moved to implement regulatory measures for investor safeguarding, including requiring telecommunication firms to block or flag texts from unregistered senders. They are empowering the Australian Communications and Media Authority (ACMA) to create a compulsory SMS sender ID register, allowing for the blocking or warning marking of these fraudulent messages.

Binance’s Commitment to User Education and Security

Binance is also committed to ensuring security and user awareness. Jimmy Su, Binance’s Chief Security Officer, remarked, “Scammers frequently impersonate trustworthy platforms—like Binance—by exploiting telecom loopholes to manipulate sender IDs and create urgency in communications.”

To protect investors from such scams, Su suggested several preventative measures: verifying communications only via the official website or app, and never sharing sensitive information, as legitimate companies do not ask for a user’s seed phrase or private keys. He advised investors to remain vigilant regarding urgent requests, particularly those involving fund transfers, and to utilize official tools such as Binance Verify to validate the authenticity of communications.

Key Takeaways

• Scammers impersonate Binance through SMS, deceiving victims into crypto transfers.
• Australian authorities launched Operation Firestorm in response to the fraud.
• Binance plans a new security feature aimed at helping users identify phishing scams.