-104.jpg)
Gift Card Fraud Evolves
It has been reported that Chinese hackers have managed to crack the algorithm behind iTunes gift cards. Using a key generator, they can now produce as many gift cards as needed, resulting in cards worth $200 being sold for as little as $3 each.
The gift cards are being fraudulently sold on taobao.com, a Chinese version of eBay. Customers who make a payment receive a voucher code, which can then be redeemed on iTunes.
The website outdustry.com who broke the story, contacted the owner of the Taobao shop who explained why the codes are being sold so cheaply:
Half a year ago, when they started the business, the price was around 320 RMB for 200 USD card, then more people went into this business and the price went all the way down to 18 RMB per card, “but we make more money as the amount of customers is growing rapidly.”
This latest story seems to be an evolution of gift card fraud. Previously, gift certificates and vouchers were being sold on UK auction sites for a lower than retail value, as they had been purchased using fraudulent credit card details.
13th March 2009
Print page
