The new AI tool ProKYC, capable of bypassing KYC checks on crypto exchanges, has raised concerns among cybersecurity experts.
Features of the New Tool
According to Cato Networks, ProKYC represents a significant step forward in cryptocurrency fraud. The tool allows fraudsters to create new fake identities using artificial intelligence, making it more efficient compared to traditional methods.
How ProKYC Works
ProKYC generates fake documents and videos that pass facial recognition checks used by major crypto exchanges. A video demonstrates how the tool creates fake passports and videos for passing KYC procedures, such as identification on Bybit exchange.
Detection Capabilities and Consequences
Experts say detecting such AI fraud can be challenging. Possible detection methods include manual checks and analysis of inconsistencies in images and movements. Identity fraud in the US carries severe penalties.
Security system developers must be prepared to combat new threats posed by AI tools capable of bypassing KYC checks.
