Crypto Exchange Upbit Resolves Fake APT Token Issue and Resumes Services

By: Isha Das

A faux APT token known as 'ClaimAPTGift.com' had erroneously been identified as legitimate by crypto exchange Upbit, infiltrating roughly 400,000 Aptos wallets. South Korean crypto exchange Upbit has subsequently restarted deposits and withdrawals of Aptos (APT) following the resolution of the issue.

On September 24, Upbit abruptly paused Aptos token services due to an 'irregular deposit attempt', prompting a review of the wallet system. The problem hails from the introduction of the bogus APT token 'ClaimAPTGift.com' that circulated in 400,000 Aptos wallets after its inception on September 21.

The fraudulent token likely resulted from an ordinary token airdrop scam, in which users are airdropped tokens that direct unknowing victims to phishing websites. However, Upbit's reported failure to sufficiently verify the scam token's source code led to the exchange’s recognition of the fake tokens as real Aptos tokens.

This reportedly enabled users who sold the faux APT tokens to abscond with funds. Upbit's customer centre was noted to have begun requests of refunds from users who dealt in the counterfeit APT tokens. As of 11 PM local time on September 24, Upbit acknowledged the reinstation of deposits and withdrawals after completing a wallet inspection.