Crypto Trader Bot Scam on YouTube Steals 256 ETH – How to Stay Safe
- Sammy Salmela
- Aug 8
- 3 min read
Article with AI Analysis:
Date: 7 August 2025
Source: cointelegraph.com SentinelLABS
Introduction
A new wave of crypto scams is hitting YouTube – and this one is using old, trusted accounts to push a “trading bot” that quietly drains people’s wallets. Over 256 ETH (worth nearly $940,000) has already been stolen.
What makes this scam dangerous is how believable it looks. The accounts posting the videos have years of history, often sharing crypto news, market tips, or pop culture content. To the untrained eye, they seem safe. But behind the scenes, the videos promote a malicious smart contract disguised as a tool to help you trade better.
How the Scam Works
Cybersecurity firm SentinelLABS says the scam has been running since at least 2024. Here’s the playbook:
Old YouTube channels are hijacked or bought – These have a strong history and good rankings, making them appear trustworthy.
AI-generated videos promote a “crypto trader bot” – The pitch: deploy a smart contract that trades on your behalf.
Hidden wallet trick – When you set it up, the attacker’s wallet is secretly added as a trading address.
Your funds, gone – As soon as you fund the contract (minimum 0.5 ETH “for gas fees”), the scammer can drain it.
Some scammer wallets tracked by SentinelLABS have received 7.59 ETH, 4.19 ETH, and a staggering 244.9 ETH each.
Red Flags in the Videos
Even if the channels look legit, there are warning signs:
AI voices and stock-style visuals – No real human presence.
Fake testimonials – Comments claiming huge profits.
No criticism – Negative comments are deleted quickly.
Overly simple promises – “Make big money fast, no risk.”
Savvier users are now going to Reddit to warn others – but many victims never realise what happened until their crypto is gone.
How to Protect Yourself
The rule is simple: never deploy code or smart contracts you don’t fully understand – especially if you found them in a random video.
Before trusting any trading tool:
Research who created it.
Read the code (or have a developer review it).
Avoid anything that promises quick, effortless profits.
Stick to tools from verified, reputable sources.
Scams like this work because they look easy and exciting – but in crypto, that’s usually the biggest red flag of all.
AI-Powered Sentiment Analysis
Our AI analysis of this article revealed:
Sentiment Score: -0.62 – Overall negative due to the focus on fraud, theft, and user risk.
Financial Sentiment: -1.15 – Strongly negative given the direct financial losses reported.
Polarity Score: -0.41 – The language points heavily toward warning and caution rather than neutrality.
Subjectivity Score: 0.55 – Moderately subjective because the article includes human safety advice alongside factual reporting.
These scores suggest that the content is cautionary and aims to protect readers by highlighting the risks of a specific ongoing scam. The tone is intentionally firm to prevent further victimisation, while maintaining factual accuracy.
Read More
Read the full article on: https://cointelegraph.com/news/crypto-trading-bot-scam-youtube-eth-theft
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Disclaimer
This article was generated using AI and reviewed for accuracy. The information presented is for educational purposes only and should not be construed as financial advice. Always consult with a professional before making investment decisions.
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