In a shocking revelation, two Canadians have fallen victim to a sophisticated deepfake cryptocurrency scam, resulting in a combined loss of $23 million. This incident underscores the alarming rise of such scams in Canada, where the total losses from cryptocurrency fraud have reached a staggering $12 billion over the past three years, as analysts warn in the report.
Victim from Ontario Duped by Deepfake Video
The first victim, a 51-year-old woman from Markham, Ontario, was duped into investing $17 million after being convinced by a deepfake video featuring a likeness of Elon Musk endorsing a crypto investment platform. Initially starting with a modest investment of $250, she was misled into believing the platform was legitimate, which led her to invest more and even borrow money from family and friends to continue funding her investments.
Another Victim from Prince Edward Island
In a separate case, a man from Prince Edward Island lost $600,000 after being enticed by a deepfake video associated with the popular TV show Dragons' Den. Both victims were shown fabricated account balances that falsely indicated their investments were growing, and they were subsequently blocked from withdrawing any of their funds.
Increasing Sophistication of Cryptocurrency Scams
This incident serves as a stark reminder of the increasing sophistication of scams targeting cryptocurrency investors in Canada.
In light of the recent deepfake cryptocurrency scam that cost two Canadians $23 million, a new report reveals that cryptocurrency theft has surged to over $34 billion in 2023. For more details, see the full report on theft statistics.
