When some app claims that, you can mine bitcoin in the cloud then please do proper research before installing those app, they might be totally scam and stealing your private information. A security and research firm uncovered dozens of cloud-mining apps for Android that are totally scam and defraud their users.
This report is conducted by antivirus vendor Lookout, which has identified more that 150 Android apps that scammed people, who are interested in cryptocurrencies. Many of these apps, just attract user in exchange of providing them cloud mining service over the internet. User just need to pay minimal fee for the app. In the investigation they found out that, no cryptocurrency was actually mined.
These type of app on Google play store has scammed over 93,00 people in total and stole approx. $350,000 from the user in certain ways like, user paying for the app or buying additional in-app purchases for fake upgrades and services. 25 of the app were also available on Google play store, in price ranging from $10.99 to $20.99. In response to Lookout's report, Google play service took down the apps. The rest of the apps are still in circulation via third party app stores and services.
Google's own security monitoring system failed to detect the scam app, this becuase these app does not contains any malicious software or block of code. These app works by offering a amazing attractive dashboard that lets user monitor the cryptocurrency mining hash rate. The same dashboard give the user insight of the total coin mined. Lookout, reverse engineered those apps and found out that, the values or number these app display on their dashboards are just a fictitious number with no meaning.
"The value displayed is simply a counter slowly incremented in the app. In some of the apps analyzed, we observed this happening only while the app is running in the foreground and is often reset to zero when the mobile device is rebooted or the app restarted", Lookout said.
To encourage user for in-app purchases these apps offers subscription based services and expensive upgrade to the user to increasing the mining rate and motivate them to withdraw the balance they have mined.
We have attached the report that Lookout provided, which contain mining apps that are totally scam. To stay safe, the company encourages consumers to research the developers behind any cloud-based cryptocurrency mining services and also read user viewers before installing. “Take your time, and if a deal is too good to be true, it probably isn’t real,” Lookout added. Download the Lookout's report.