Hackers Trap Victims in 'Pig Butchering' Scam with Fake Trading Apps

Cybercriminals are increasingly exploiting fake trading apps to ensnare victims in what is known as the ‘pig butchering’ scam. This scam involves hackers tricking individuals into making fake investments, often over a prolonged period, fattening them up—like pigs—before "butchering" them by stealing their money.

“Pig butchering’ involves the use of fraudulent trading apps available on legitimate platforms like the Google Play Store and Apple’s App Store. This scam preys on victims by creating a false sense of trust and credibility, often luring them into making what appear to be lucrative investments.

These scams usually start with hackers posing as potential friends or investment advisors on social media or dating apps. Once they gain the victim’s trust, they introduce them to fake trading platforms that seem legitimate, often showing fake profits to lure further investments. Victims are then encouraged to deposit larger sums, only to find themselves locked out of their accounts or told they owe additional fees when they try to withdraw funds.

Over time, victims deposit increasingly larger amounts of money into these fraudulent apps. However, when they attempt to withdraw their funds, they are either blocked from accessing their accounts or asked to pay excessive "fees" to unlock their earnings, which never materialize.

The rise in such schemes highlights the need for greater caution when downloading trading apps or following investment advice from unverified sources. Pig butchering scams have caused significant financial losses worldwide, and authorities are urging people to remain vigilant and avoid unsolicited investment offers, especially from unknown individuals or unregulated platforms.

The ‘pig butchering’ scam has become a global concern, especially since these fraudulent apps have managed to bypass the scrutiny of app store security measures. Users are advised to exercise extreme caution when downloading trading or investment apps, particularly those recommended by unknown individuals, and to verify the legitimacy of any platform before investing. Regulatory authorities are working with tech companies to remove these apps and to increase awareness of such schemes.

The report reveals that the ‘UniShadowTrade’ malware, identified by researchers, operates under the guise of legitimate trading applications, drawing users into a fraudulent investment scheme known as ‘Pig Butchering.’ According to Group-IB researchers, these deceptive apps were developed using the UniApp framework and first emerged in May.

The malware specifically targeted iOS users with an app named ‘SBI-INT,’ while Android users encountered the fake trading tools labeled as ‘Finans Insights’ and ‘Finans Trader6.’ Before their eventual removal from app stores, these applications were downloaded over 5,000 times by Android users.

The ‘Pig Butchering’ scam involves scammers building a rapport with victims and encouraging them to invest in these fraudulent trading platforms, which often display manipulated data to create the illusion of profitable trading opportunities. Users are advised to remain vigilant and conduct thorough research before downloading any trading applications to avoid falling victim to such scams.