Kaito AI and Yu Hu X Accounts Hijacked to Spread Fake Alerts

March 17, 2025


Kaito AI, an artificial intelligence-driven research platform for crypto and blockchain data, and its founder Yu Hu have been targeted in a social media hack. Attackers took control of the account, falsely claiming that Kaito AI’s wallets had been compromised and warning users that their funds were at risk.

In a post on X, the AI company confirmed that both the company and its founder had been hacked, emphasizing that its wallets remained secure and had not been compromised.

“We now have regained access to the twitter accounts. Please bare with us as we investigate how this happened. We had high standard security measures in place to prevent it — so it seems to be similar or the same to other recent Twitter account hacks,” Kaito AI wrote. 

Hackers gained control of the account and shared misleading posts that caused panic among investors. The fraudulent posts have since been removed.

Blockchain investigator DeFi Warhol reported that the attackers allegedly placed a short position on KAITO tokens before spreading false messages. The strategy aimed to spark a sell-off, driving the token’s price down and enabling them to profit from the manipulated decline.

“Hackers are getting smarter. They didn’t tweet a stupid CA and closed the replies like the majority do. Instead, they shorted before tweeting a seemingly legit tweet concerning the $KAITO supply,” DeFi Warhol wrote. 

Additionally, Hu emphasized in an X post that Kaito’s wallets and token supply remained secure and had not been compromised. “My X account and the Kaito one were both compromised — with the hacker then posting false tweets. Once I was made aware, I checked the accounts and saw I was still logged into both so deleted the tweets, and changed the password,” Hu said. 

Hu emphasized that both his account and Kaito AI’s account had high-level security measures in place, including hardware-based two-factor authentication. He noted that the breach appeared similar to the recent hack targeting Solana-based liquidity aggregator Jupiter.

“We have a lead from @DefiSquared – looks like the same hacker associated with the recent hack on the @tier10k account is related to ours. Overall profited close to $1mn from opening trades on hyperliquid ($300k today),” Hu shared in an update, urging anyone with expertise on the matter to come forward.

Cybercriminals are increasingly targeting social media accounts to execute cryptocurrency scams, exploiting the trust and reach of verified profiles. High-profile figures, crypto projects, and industry leaders have all fallen victim to these attacks, which typically involve phishing schemes, SIM-swapping, or compromised credentials.

Recent incidents have shown a pattern in which hackers time their attacks to coincide with market activity, maximizing their financial gain. Security experts warn that even accounts with multi-factor authentication are at risk, urging users to implement additional protective measures, such as hardware security keys.

As these attacks become more sophisticated, platforms and users alike are being urged to stay vigilant, verify any unexpected financial claims, and report suspicious activity immediately.

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Michaela has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Magazine and The Shib Daily are the official media and publications of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.

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