Fraudulent “CircleMetals” Release Highlights Rising Risks Around Tokenized Assets
A fraudulent announcement claiming the launch of a tokenized gold and silver trading platform has raised fresh concerns about sscams targeting crypto users. The release circulated during a major holiday period, falsely suggested that Circle the issuer of a leading dollar-backed stablecoin had introduced a new product offering precious metals swaps.
The fake release promoted a platform caleled “CircleMetals”, advertising 24/7 swaps between stablecoins and alleged gold and silver tokens. It claimed these assets were backed by institutional-grade liquidity and quoted senior executives to appear credible. However, the company later confirmed that the announcement and platform were not legitimate.
Investigations found no verifiable evidence that the promoted gold or silver tokens actually exist, nor that any regulated financial institution supports them. The release also referenced reward tokens that do not appear on recognized market data platforms, further signaling deception.
Before being taken offline, the website encourage userss to connect their crypto wallets to execute swaps, a common tactic used in phishing and wallet-draining schemes. Security experts consistently warn that connecting wallets to unverified platforms can result in irreversible loss of funds.
As tokenized real-world assets gain popularity, malicious actors are increasingly exploiting trusted brand names to lure users. The incident underscores the importance of verifying official announcements and exercising caution, especially when prompted to interact with new platforms during low-visibility periods.
The fake tokenized metals platform serves as a reminder that due diligence remains essential in crypto, even as the industry matures and expands into traditional asset classes.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.