SIM Swap
A SIM swap is a type of identity theft in which attackers fraudulently transfer a victim’s mobile number to a SIM card they control.
A SIM swap is a type of identity theft in which attackers fraudulently transfer a victim’s mobile number to a SIM card they control. In the context of Bitcoin, SIM swaps are used to bypass two-factor authentication (2FA), access exchange accounts, and reset passwords linked to phone numbers. Once an attacker gains control of a victim’s number, they can intercept verification codes and quickly drain bitcoin holdings.
Bitcoin users are especially vulnerable because many exchanges and wallet services still rely on SMS-based 2FA, which becomes ineffective when a phone number is compromised. Attackers may trick mobile carriers through social engineering, stolen identity documents, or insider cooperation. After taking over the number, criminals target email accounts, exchange logins, and any service that uses SMS recovery features.
Protecting against SIM swaps requires disabling SMS-based 2FA and replacing it with app-based or hardware authentication. For bitcoin holders, strong authentication and minimal reliance on phone numbers are essential defenses against SIM-swap-enabled theft.
SIM Swap is a cybersecurity threat or attack vector that can target Bitcoin users, exchanges, and digital infrastructure. Onramp's glossary explains SIM Swap and other security concepts to help investors protect their Bitcoin holdings from malicious actors.
Frequently Asked Questions
What is SIM Swap?
SIM Swap is a type of cyberattack or security vulnerability that can compromise digital assets. Understanding SIM Swap is essential for anyone holding or transacting in Bitcoin.
How can Bitcoin holders protect against SIM Swap?
Protection against SIM Swap involves using trusted custody solutions, enabling multi-factor authentication, and following security best practices. Institutional custody significantly reduces exposure to such attacks.
How does Onramp protect against SIM Swap?
Onramp's multi-institution custody model through BitGo, CoinCover, and Tetra Trust provides institutional-grade protection against threats like SIM Swap. Onramp manages approximately $250M in assets with comprehensive security measures.
