Cerebras, known for its heavyweight AI chips, hit a bump in the road after hackers breached its X account, landing the firm in a tight spot. These cyber crooks used the company’s platform to promote a fraudulent cryptocurrency token named $CEREBRAS. The tech company quickly shot down any rumours, making it clear the coin was a complete sham.
Image 1 (Source: Investopedia)
The Scam Unfolds
On June 15, a brand-new crypto token called $CEREBRAS popped up, bearing the same name as the AI chip firm. The timing and name raised eyebrows almost immediately within the crypto community, who suspected it was a classic “rug pull”—a ”scheme where creators abandon the project after raking in investments, leaving others high and dry.
The Cerebras X account was seized soon after, and the hackers pushed the fake token aggressively. This move stirred up more suspicion among observers, who were quick to spot the red flags. The company was not involved in any token launch, and staff acted swiftly to regain control of their social media presence.
CEREBRAS
World’s largest AI chip maker hit by crypto scam – Cerebras says token isn’t real, so don’t fall for it
Responding to one request on X, CEO Andrew Feldman wrote: “No. We did not. This is a scam.” Company Director James Wang also responded to speculation: “Cerebras is…— Andrew ⚡️ AI (@McMimck) June 20, 2025
Company Response and Damage Control
Andrew Feldman, CEO of Cerebras, along with James Wang, the company’s Director of Product Marketing, firmly stated that Cerebras had no involvement in the token and warned followers not to engage with any related links or offers. Their quick response ensured the account was reclaimed and malicious posts were wiped clean.
The company reiterated that it neither issues nor endorses any cryptocurrency, urging users to stay vigilant and steer clear of scams. No suspicious activity has been reported since Cerebras regained control of its account, putting the lid on the situation for now.
Cerebras’ Industry Standing
Cerebras isn’t just any tech player; it’s a heavyweight in AI hardware. Known for manufacturing the largest AI chips worldwide, the company builds wafer-scale processors that pack an impressive punch. Their flagship AI chip features 900,000 cores, which is equivalent to the processing power of 62 Nvidia H100 GPUs.
The firm recently demonstrated record-breaking speeds in running large language models, particularly the Llama 4 Maverick 400B, reaching an output of 2,522 tokens per second. This performance surpasses Nvidia’s leading chip, which clocks in at 1,038 tokens per second, nearly 2.5 times slower.
Cerebras’ knack for cutting-edge tech and proven results helped it snag a $45 million payday from the U.S. government, teaming up with Canada’s Ranovus to speed up how chips talk to each other. The company is also preparing for a significant milestone, having filed for an initial public offering (IPO) in October 2024.
Why This Matters
The attempted crypto scam underscores the risks that reputable companies face in the digital world. For a firm like Cerebras, trusted by governments and leading tech firms alike, such an incident can threaten to undermine its hard-earned credibility.
Cryptocurrency scams are rife, and tying a fake token to a well-known company is a classic move to trick investors. The swift denial and recovery by Cerebras likely saved many potential victims from falling into a costly trap.
Image 2: (Source: Unsplash)
Staying Safe in a Digital Age
This turn of events is a sharp nudge to treat surprise crypto rollouts with caution and not jump in headfirst. Even large, respected companies can fall prey to hackers aiming to exploit their name for ill gain. Ensuring information is verified through official channels before making any financial decisions is key.
Cerebras got roped into a crypto con when hackers snatched its X account and used it to flog a phoney $CEREBRAS token. The token appeared suspicious right from the outset and was widely suspected to be a rug pull.
CEO Andrew Feldman and Director James Wang swiftly confirmed the company’s lack of involvement and worked to regain control of the account. Since reclaiming it, no further suspicious activity has been detected.
This mishap pulls back the curtain on the constant threat of online scams and reminds everyone to keep their guard up. All the while, Cerebras keeps raising the bar in AI, with top-tier chips, major government backing, and a possible IPO just around the corner
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If you keep your wits about you and follow official sources, you’ll be able to dodge these sorts of digital dodges. Cerebras’ handling of the situation shows how important it is to respond quickly when things go pear-shaped online.
