Blockchain security experts have uncovered a new scam using malicious Google ads to trick crypto users into visiting a fake Pudgy Penguins website.

A new scam targeting crypto users has been uncovered, with analysts at blockchain security firm Scam Sniffer warning that bad actors are seemingly exploit Google‘s ad network to post malicious ads.

In an X thread on Wednesday, the analysts explain that malicious ads contain suspicious JavaScript code that checks if the viewer has a crypto wallet. If a wallet is detected, the code redirects users to a fake website that mimics the legit website of Pudgy Penguins, a non-fungible token collection of 8,888 unique tokens depicting chubby cartoon penguins.

Once users are redirected to the fake website, scammers could steal personal information or lure victims into connecting their wallets, allowing unauthorized access to withdraw funds.

The current target of the scam is Pudgy Penguins users, but Scam Sniffer has warned that this method could easily be adapted to target other crypto projects as well. The security experts advise crypto investors to always carefully check website URLs to avoid falling for similar scams. To stay safe, Scam Sniffer recommended using ad blockers, considering a separate browser for web3 activities, and double-checking URLs before connecting a wallet.

The latest scam is part of a larger trend where bad actors exploit Google Ads to deceive crypto users. In one instance, scammers mimicked the Revoke Cash recovery service by using fraudulent ads that redirected users to a fake site designed to steal funds. In another case, Google Ads were used to promote a fake version of the Whales Market crypto platform, redirecting users to a fraudulent site where their wallets were compromised.

Bad actors keep ramping up crypto scams, with impersonation accounts surging to over 300 a day, according to blockchain analysts.

Crypto scams on X are once again rising fast, with major accounts hijacked to promote fake tokens. Victims have already lost millions, and experts are warning users to stay alert.

Analysts at blockchain firm Scam Sniffer warned in an X post on Dec. 10 that starting this week, daily impersonation accounts surged by 87%, jumping to over 300 compared to the November average of 160. The spike increases the risk for users as scammers continue to exploit high-profile accounts to push fraudulent schemes.

The analysts note that in one recent case alone, two victims lost over $3 million worth of crypto by interacting with malicious links and signing transactions linked to fake accounts. As crypto.news reported earlier, the scams are particularly prevalent on Solana (SOL), where compromised accounts, including those of major entities like Yahoo News UK, Lenovo India, and Money Control, have been used to push a scam meme coin called HACKED.

Blockchain sleuth ZachXBT, who has been tracking these scams, recently issued a warning to the crypto community, advising users to be extra cautious. “So far, it seems the scammers may have lost money, as the market cap of the HACKED token is a modest $67K, and top traders have barely made $1K,” ZachXBT noted.

The compromised X accounts appear to have been connected to the same malicious site or application. As a precaution, ZachXBT recommends that users revoke any access permissions to unfamiliar sites or apps.

The latest incident follows a series of similar scams, including the recent use of Kylian Mbappé’s account to promote a fake MBAPPE meme coin. Earlier in September, hackers also targeted family members of U.S. president-elect Donald Trump in a scam involving the fake World Liberty Financial coin.