KuCoin Sounds Alarm: Beware of ‘Free’ Cold Wallet Scams Targeting Crypto Investors

Crypto exchange KuCoin just dropped a bombshell warning—fraudsters are peddling 'free' cold wallets to drain your digital assets. Here’s how to spot the trap before it’s too late.

### The Bait: Too-Good-To-Be-True Hardware Wallets

Scammers are luring victims with 'no-cost' hardware wallets—only to siphon funds the moment you connect. KuCoin’s security team confirms these devices often come pre-loaded with malware or backdoor access.

### Why Cold Wallets? Because Greed Never Takes a Holiday

With crypto’s bull run in full swing, bad actors are exploiting FOMO. A hardware wallet should be your fortress—not a Trojan horse. (Pro tip: If it’s ‘free,’ your private keys are probably the product.)

### KuCoin’s Playbook: Verify or Get Rekt

The exchange urges users to:

- Buy only from verified vendors

- Triple-check device authenticity

- Never trust unsolicited ‘giveaways’ (especially from ‘Elon Musk’s secret cousin’ on Telegram)

### The Bottom Line

In crypto, the only free lunch is the one you’re being served as the main course. Stay paranoid—or risk becoming another ‘hacked’ horror story in DeFi’s wild west.

KuCoin, a well-known crypto exchange, has recently announced caution over a scam. As per KuCoin, a dangerous scam is targeting community by offering cold wallets, especially Ledger devices, for free. In its latest “Security Sunday” report shared on X, KuCoin has warned the community against this scam as it offers tampered hardware wallets. The respective wallets are often provided as promotional objects or giveaways, comprising malicious instructions to drain funds.

Scam Alert: “Free” Cold Wallets

That free Ledger? It could drain your funds.

Scammers send tampered devices with fake setup instructions to steal your seed phrase.
Only buy from official retailers
Follow verified setup guides

Stay sharp. Don’t let a “freebie” cost you… pic.twitter.com/o1jVxYNgQP

KuCoin Warns Against Using Malicious Free Cold Wallets Amid Growing Scam

KuCoin’s report discloses a rapidly growing dangerous scam that steals the hard-earned funds of the users with malicious free cold wallets. Particularly, the centralized crypto exchange has warned against using such free cold wallets, especially Ledger devices. Such devices are driven by malicious instructions that aim to take away the users’ funds.

The exploiters deliver these cold wallets for free via promotional events or giveaways while aiming to get the users’ funds illegally. Hence, the consumers, while using the respective wallets, unknowingly disclose their seed phrase. Thus, KuCoin persuades the users not to use any of such free cold wallets to ensure their digital assets stay safe.

Consumers Advised to Stay Cautious to Prevent Potential Losses

While stressing the growth of the respective scam, the platform asserted that even prominent brands like Trezor and Ledger have confirmed this fraud. For this purpose, the scammers reportedly endeavor to exploit these brands’ reputation via counterfeit packaging and fake replacement devices. Keeping this in view the community members need to stay alert and should not interact with such freebies to prevent massive losses in scams. This announcement comes as a timely reminder and could play a crucial role in safeguarding the crypto holdings of many newbies in the crypto market.