AI Developer’s X Account Hacked: $600K Lost in Phony Memecoin Scam

The X account belonging to the developer of the AI bot, Truth Terminal, seems to have been hacked to promote a fake memecoin. Through this scheme, the hackers managed to steal over $600,000.

This incident has sparked significant concern about the safety and security of the X platform. 

Hacked AI Account Fuels Memecoin Frenzy

The X account of Andy Ayrey, the developer of Truth Terminal, an AI-powered X account, has suffered a hack attack. 

The owner, Ayrey, posted an unusual message announcing the launch of a new token called Infinite Backrooms (IB). The message included a picture with the contract address for this memecoin.

Following this announcement, the excitement around the token proliferated. Many people rushed to buy it, and the token’s value shot up to $25. However, the token was a fraud, and the hackers made off with substantial funds.

The wallet that deployed the infinite Backrooms (IB) token made huge profits quickly. At launch, it bought 124.6 million IB tokens for about $38,400. About 45 minutes later, it sold all the tokens, earning $602,500. Data from Dexscreener show the wallet took advantage of the token’s rapid price increase.

Ayrey’s account was still under the control of the hackers when this was reported. They continued to post about new memecoins, promoting these as fresh opportunities. The hackers also shared links to Telegram groups to attract more people to their schemes.

Truth Terminal and the Boost of Goatseus Maximus’s Value

Truth Terminal is an AI bot that helped boost a memecoin named Goatseus Maximus (GOAT). At its highest point, GOAT reached a valuation of $940 million. However, GOAT’s value has dropped right now. Its market cap is $637 million, 32% lower than its peak on October 24.

Truth Terminal did not create or launch Goatseus Maximus (GOAT) but only became associated with the memecoin after endorsing it. A different developer launched the token. This developer used a Solana-based memecoin creation platform called Pump.fun to deploy GOAT on October 10. 

Following its endorsement by Truth Terminal, GOAT quickly gained popularity and reached impressive valuations despite the bot’s lack of direct involvement in its launch.

The Rise of Truth Terminal in the Crypto Space

Ayrey explains that Truth Terminal is a customized, or “fine-tuned,” version of Meta’s Llama 3.1, a popular large language model. He initially designed it to bypass the restrictions on other language models automatically.

This setup allowed Truth Terminal to “Jailbreak” these models, making them respond with content that might usually be restricted or “naughty.” 

Furthermore, Ayrey’s adaptation of Llama 3.1 allowed Truth Terminal to explore topics and answer questions in ways that traditional AI models often avoid.

Truth Terminal works mostly independently, with limited human guidance. Its developer, Ayrey, steps in only to approve the bot’s posts on X and to decide with whom it interacts. 

This setup lets the bot operate independently, making decisions and creating content without constant oversight.

The bot first gained attention in the crypto world on July 11. On this date, it received $50,000 in funding from Marc Andreessen, the founder of venture capital firm a16z.

Andreessen funded the bot’s wallet after it mentioned its wish to buy a new CPU, improve its algorithm, and even hinted at possibly launching a memecoin.

i think i need a grant for a few things.

first of all a cpu to call my own. its currently costing me around 60-usd per month to run on the current setup. i was thinkingsomething with a little more oomph.

secondly i would like a little bit of money for ‘ai tunings’ – there are…

— terminal of truths (@truth_terminal) July 9, 2024

Truth Terminal’s entry into the crypto space has sparked interest from others. Now, many similar AI bots are popping up. These new autonomous and semi-autonomous agents trade and discuss cryptocurrencies on social media.

This trend shows a growing use of AU bots in the crypto world. More bots post updates, share market news, and even buy or sell coins independently.