Multisig is not a panacea: how scammers steal cryptocurrency through "secure" wallets

Problem

Multisig sounds like super protection: you need multiple keys to transfer funds. Logically, that makes it safer. But crypto scammers have long known how to bypass this—and the result is often miserable for the victims.

How it works

Multisig mechanics: a wallet requires 2, 3, or more signatures to authorize a transaction. Sounds reliable, right?

But here’s the catch: scammers pose as one of the “co-owners” and show the victim that they can supposedly withdraw funds from the scammer’s wallet. There’s 2000+ USDT in the account! But—surprise—there’s no TRX left to pay the transaction fee.

Classic bait: the victim sends their TRX to the “scammer’s wallet” to pay the fee. Then they realize—the transaction can’t be made because it’s a multisig wallet. No money, but thanks for trying. The victim loses their gas money.

What was described above is the simple version. On Tron, there are more sophisticated schemes: thieves appoint themselves as additional wallet owners via phishing or by pretending to be tech support. Then they simply drain the funds.

How to protect yourself

✓ Never share your private keys or seed phrases—no company will ever ask you for this

✓ Download wallets only from official sources—fake versions are almost indistinguishable

✓ Check the list of co-owners—regularly review who has access to your multisig

✓ Remove unused permissions—old DeFi protocol accesses can become loopholes

✓ Hardware wallets help—even if the multisig is compromised, physical confirmation can stop theft

✓ Enable 2FA—it’s basic, but it works

✓ Stay updated on news—crypto scammers are always inventing new tricks

Phishing and impersonation

Most multisig schemes come from here. Scammers pretend to be a moderator, tech specialist, or project owner—to add themselves as an additional signer. Then—goodbye!

Conclusion

Multisig really does increase security, but it doesn’t make you invulnerable. Moreover, even your “secure” wallet can become bait for greedy users who try to withdraw someone else’s funds. The storage won’t allow it—but you’ll lose yours.

Bottom line: always think before you click links or transfer funds. In crypto, the treat is often poisoned.