The Australian Securities and Investments Commission (ASIC) has intensified its battle against crypto scams, taking down over 600 fraudulent schemes in the past year.
Scale of Actions Taken
ASIC reported that since July 2023, it has shut down 5,530 fake investment sites, 1,065 phishing links, and 615 cryptocurrency scams. According to ASIC's Deputy Chair Sarah Court, scammers are leveraging advanced technology, such as artificial intelligence, to deceive people. "Innovative technology developments may improve how we live and work, however, they also provide new opportunities for scammers to exploit," she noted.
Technological Tactics Used by Scammers
Investment scams remain a significant issue in Australia, leading to financial losses of $1.3 billion in 2023. One common tactic is using fake endorsements from celebrities like Chris Hemsworth and Elon Musk, promising quick and easy returns. Recently, scammers used AI to create a deepfake video and voice of Elon Musk, broadcasted on over 35 YouTube channels, falsely promising viewers they would get double the amount of crypto they invested.
Specific Examples of Scams
ASIC also flagged a crypto investment firm, Dexa Trade Markets, which falsely claimed to be regulated and handling billions in trading volume. The commission emphasized that this firm does not have any legal approval to operate in Australia.
ASIC continues its active fight against crypto scams by employing new technologies and methods to protect investors and prevent financial losses.
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