CZ Hit By Major Scam Involving 90 Million Fake Grok Tokens

When an artificial intelligence accidentally reveals the name of a memecoin, investors get excited, scammers infiltrate, and millions change hands. Grok, Elon Musk’s chatbot, triggered a wave of scams in a market where humor, greed, and AI now form a trifecta. The result: 90 million fake tokens, trapped accounts, a $25 million bubble… and lessons to be learned for the entire crypto world.

A Flood of Fake Tokens Crashes onto CZ’s Wallet

He said that an X crypto would never see the light of day. But everything changed on April 21, when the address associated with the former Binance CEO, Changpeng Zhao (CZ), received 90 million fake Grok tokens. The information, revealed by PeckShield, immediately alerted the ecosystem:

The address labeled CZ received 90 million $GroK.

It was not a generous donation, but a fraudulent token issued en masse, widely distributed via multisend.

The goal? To attract attention, sow confusion, and trap gullible investors by capitalizing on CZ’s image and Elon Musk’s aura. The GrokCoin token, which is unofficial, saw its price soar by 100,000% and reach a $25 million market cap.

The fault lies with a response from the Grok chatbot, which, when asked a question by a user, mentioned this very GrokCoin. The token’s address was real, and panic was just beginning.

Deepfake, phishing, Pump.fun: when scams become digital art

This is not an isolated incident. For several weeks, Elon Musk-themed scams have been proliferating. For example, Musknext.org offered a fake livestream supposedly hosted by the billionaire’s AI, promising a $20,000 airdrop. Denis Thomas sounded the alarm on X:

A new cryptocurrency scam is circulating […] They use a fake Elon Musk AI stream to promote a fake giveaway.

On Solana (SOL), the platform Pump.fun has become a playground for counterfeiters: hundreds of memecoins are launched every day, including several variants of GrokCoin. One token creator is reportedly behind more than 470 different coins.

Their technique? Manipulating AI so it suggests a coin name and wallet address, and exploiting the gullibility of crowds.

Meanwhile, phishing scams are exploding. Just in 2024, they have cost the crypto industry over a billion dollars, according to CertiK. Techniques are evolving with AI, deepfakes, and an astonishing adaptability. Scams have become an art form, a digital performance where every click can be costly.

AI under influence: between satire, manipulation, and a new gold rush

The AI + memecoin combo is the new winning (or losing) ticket of crypto speculation. A mere mention of Grok in a post sends the market into a frenzy. The illusion of Musk’s support is enough to trigger collective FOMO. The problem? These AI signals are manipulable, distortable, and easily weaponized.

And while some make fortunes in a few hours, others lose everything. On one side, the digital Wild West runs wild; on the other, legislators struggle to keep pace. In New York, a bill in preparation aims to severely punish crypto fraudsters, with fines reaching up to $5 million.

In this algorithmic circus, where AIs boost phishing by suggesting crypto names and scammers walk a thin red line, vigilance is no longer advice. It is a necessity.