SIM Swapping: A Growing Threat to Crypto Investors

SIM swapping is a type of fraud where attackers take over a victim's mobile number by convincing their operator to activate a new SIM card in their name. This allows the attacker to intercept SMS codes, including those used for two-factor authentication on cryptocurrency exchanges.

The attack typically involves three phases: collecting personal data, taking over the identity, and activating the new SIM card. In many cases, attackers only need basic personal details such as a person's full name, date of birth, and address to sound credible on the phone.

The FBI reported 971 SIM swap cases in 2025 with damage totaling $17.4 million. The age distribution shows that most victims are between 40-49 years old, indicating that this type of attack targets individuals with larger assets.