Cryptocurrency scams are a common problem that the industry has struggled to address. Even as scams become so popular that investors no longer fall for them, scammers launch even more sophisticated scams that leave investors unsuspecting. Taking advantage of celebrities like Elon Musk to carry out these scams is not a new way, but scammers are now more sophisticated by using Deep Fake technology to impersonate this billionaire.
Elon Musk fake video with Deep Fake technology
In the past, crypto scammers have used previous interview videos of billionaire Elon Musk and others talking about cryptocurrencies to advertise their scam project. However, investors have become accustomed to these schemes, so the scammers have upgraded their tricks.
Over the past few months, many videos have appeared in which Elon Musk seems to be talking about cryptocurrencies and asking people to send cryptocurrencies to a specific address and they will be duplicated. These videos look realistic to get people’s attention, but looking closer, they show a sinister conspiracy going on.
Using Deep Fake technology, these scammers can now create videos of Elon Musk to ask users to deposit cryptocurrency. The videos feature SpaceX CEOs in different outfits and settings talking about scams and looking unbelievably real.
Beware of Elon Musk Deepfake Crypto Scams which are being promoted on YouTube.
— DogeDesigner (@cb_doge) September 11, 2022
Twitter users warned about cryptocurrency scams
Dogecoin designer cb_doge on Twitter took to the social media platform to warn users about these scams. In one Tweet, they posted three videos, all of which were “Elon Musk” promoting cryptocurrency scams. There is no information on how many people have fallen into such scams, but it is still important to raise awareness about these scams.
A new report from Scamwatch shows that Australian investors alone have lost more than $240 million in cryptocurrency scams so far in 2022, and this is just a number from one country. Recently, U.S. lawmakers have called on leading platforms like Meta to submit reports on what they are doing to prevent cryptocurrency scams on their platforms.
YouTube has also done everything to prevent these types of scams on its platform. An FTC report found that users lost more than $1 billion to cryptocurrency scams in 2021 alone.
The numbers are expected to be even higher in 2022 with the rise of the decentralized finance (DeFi) space, as scammers have taken advantage of the sector to expand their nefarious activities.