Kaito AI founder's X account hacked despite 2FA protection

Yu Hu, the founder of Kaito AI, reported that his X (formerly Twitter) account and the Kaito AI account were compromised on March 16, 2025, despite having advanced security measures in place, including hardware two-factor authentication (2FA).

The incident highlights the growing sophistication of cyber attacks targeting high-profile individuals and organisations in the cryptocurrency space.

The hackers posted false information claiming that Kaito wallets had been breached, causing panic among users and a temporary drop in the KAITO (CRYPTO:KAITO) token price.

Yu Hu quickly discovered the breach, deleted the fake tweets, and changed passwords for both accounts.

He emphasised that no Kaito AI-related systems or wallets were compromised during the attack.

According to DeFi analyst DeFi Warhol, the attackers likely opened short positions on KAITO tokens before spreading the misleading information, aiming to profit from the resulting market disruption.

The KAITO token experienced a 13% drop before stabilising, with trading volume surging over 80% in the 24 hours following the incident.

Yu Hu noted that the attack bore similarities to recent hacks of other projects, such as Jupiter, suggesting a coordinated effort by sophisticated threat actors.

The Kaito AI team is currently investigating the breach and has reached out to experts familiar with such attacks to prevent future incidents.

As digital threats continue to evolve, the cryptocurrency industry faces an increasing need for vigilance and improved security protocols to protect against social media hacks, phishing scams, and other cybersecurity breaches.