Rabby wallet scam traced to $1.6M losses linked to Dubai CEO

An investigation has revealed that a fake Rabby Wallet scam, which defrauded unsuspecting users of $1.6 million in cryptocurrency, may be linked to the online persona "Konpyl." 

The fraudulent app managed to bypass Apple's strict review process in February, staying on the App Store for four days and draining funds from multiple victims. 

Despite Apple's removal of the app, the damage was already done. 

A blockchain analysis by Magazine uncovered that funds stolen from users were funneled through a wallet known as "Konpyl," which was active on NFT marketplace OpenSea. 

Victims initially reported their losses on social media, identifying the "Rabby Drainer" wallet as the culprit. 

Further investigation linked this wallet to the Konpyl account, which reportedly holds $3 million in assets. 

The scammer’s tactics involved splitting stolen funds into multiple wallets and using decentralized finance (DeFi) services to obscure transactions, making it harder to trace the stolen crypto. 

One of the victims, who lost their savings, told Magazine, “I had complete faith in the Apple App Store. I never once thought it would be a scam.” 

The name “Konpyl” has been associated with Konstantin Pylinskiy, CEO of Dubai-based Moonward Capital, through Know Your Customer (KYC) documents used across various exchanges. 

However, Magazine has clarified that while the name is linked, it does not directly accuse Pylinskiy of being behind the fraudulent activities. 

Attempts to reach Pylinskiy and Moonward Capital for clarification have gone unanswered. 

Investigators have found that the Rabby wallet scam is just one of several linked to Konpyl. 

Blockchain records indicate connections to previous fraudulent activities, including phishing schemes that targeted users through fake links. 

Funds from the scam were often consolidated and laundered through multi-chain bridges, such as Rhino, before being deposited into centralized exchanges like OKX. 

Private investigators and law enforcement agencies continue to track down connections, suggesting that this scam could be part of a larger network. 

Victims are still holding out hope that ongoing investigations will lead to some form of restitution. 

Meanwhile, the investigation serves as a reminder for tech platforms like Apple to tighten their security measures against fraudulent apps.