How easy is a SIM swap hack and how does one guard against it?

Despite the rise of cybersecurity infrastructure, the online identity still faces many risks, including those related to the hacks of one’s phone numbers.

In early July, LayerZero CEO Bryan Pellegrino became one of the latest victims of a SIM swap attack, which allowed hackers to briefly take over his Twitter.

And… we’re back in. This was basically my life for the past 24 hours. Luckily we saw hack immediately and the battle began pic.twitter.com/pjrkMfQ2vT

— Bryan Pellegrino (@PrimordialAA) July 5, 2023

“My guess is that somebody grabbed my badge out of the trash and somehow was able to trick a rep into using it as a form of ID for the SIM swap while I was leaving Collision,” Pellegrino wrote soon after having his Twitter account back.

“It was ‘Bryan Pellegrino — speaker’ just your normal paper conference badge,” Pellegrino told Cointelegraph.

The incident involving Pellegrino’s mishap may lead to users assuming that performing a SIM swap hack is as easy as just grabbing someone’s badge. Cointelegraph has reached out to some cryptocurrency security firms to find out whether that’s the case.

What is a SIM swap hack? How big is it?

A SIM swap hack is a form of identity theft where attackers take over a victim’s phone number, allowing them to gain access to bank accounts, credit cards or crypto accounts.

In 2021, the Federal Bureau of Investigation received more than 1,600 SIM swapping complaints involving losses of more than $68 million. This represented a 400% increase in the number of complaints received in the three prior years, indicating that SIM swapping is “definitely on the rise,” CertiK’s director of security operations Hugh Brooks told Cointelegraph.

“If there is no move away from SMS-based 2FA and telecommunications providers do not lift their security standards, we are likely to see attacks continue to grow,” Brooks stated.

According to SlowMist chief information security officer (CISO) 23pds, SIM swapping is currently not too widespread, but it has a significant potential to rise further in the near future. He stated:

“As the popularity of Web3 grows and attracts more people into the industry, the likelihood of SIM swapping attacks also increases due to its relatively lower technical requirements.”

23pds mentioned a few cases involving SIM swap hacks in crypto over the past few years. In October 2021, Coinbase officially disclosed that hackers stole crypto from at least 6,000 customers due to a 2FA breach….