The rise of artificial intelligence is fueling a new wave of sophisticated scams in the crypto world, with deepfake technology playing a leading role, according to a newly released 2025 on June 10.

Global losses to crypto scams surged to $4.6 billion in 2024. The report was co-authored by leading crypto exchange Bitget, blockchain security firm SlowMist, and analytics provider Elliptic.

In its report, Bitget revealed that scams in the crypto space are becoming more sophisticated, using AI-generated deepfakes to deceive victims across the globe. The report stated that in just the first quarter of 2025, at least 87 AI-driven scam rings were dismantled.

These groups were found using synthetic videos, fake Zoom calls, Trojan-laced job offers, and deepfake impersonations of trusted figures in the crypto industry to deceive users and steal millions.

Bitget CEO Gracy Chen emphasized the threat posed by these AI-driven attacks.

“The biggest threat to crypto today isn’t volatility—it’s deception,” she said. “AI has made scams faster, cheaper, and harder to detect. At Bitget, we believe fighting back requires both technological rigor and ecosystem-wide collaboration.”

To combat this growing threat, Bitget has launched “Anti-Scam Month,” a global awareness campaign to educate users and improve industry security standards.

As part of this initiative, the company has rolled out an Anti-Scam Hub and enhanced detection systems. It also maintains a $500 million Protection Fund to help cover losses from fraud.

The report identifies three major scam tactics: deepfake impersonations, social engineering, and Ponzi schemes disguised as DeFi or NFT projects. It also reveals how criminals use cross-chain bridges and obfuscation tools to launder stolen funds, making it harder for authorities to trace and recover assets.

SlowMist and Elliptic contributed forensic insights to the report, analyzing how professional scam rings exploit platforms like Telegram and X (formerly Twitter) to bait victims.

Lisa, the Security Operations Lead at SlowMist, said that the tactics evolve, but the underlying psychology remains constant.

“Users must be informed, skeptical, and security-minded at all times,” she warned.

Yu Xian, CEO of SlowMist, pointed out a new scam method involving fake Zoom software. Victims are tricked into downloading what appears to be a legitimate video call app. Once installed, it gives attackers control of the victim’s computer.

“These attackers are very convincing,” he said. “The videos shown during calls are deepfakes, and they look frighteningly real.”

“Criminals are scaling their operations with AI. So we are also scaling our tools to fight back. Our collaboration with Bitget reflects the urgency of this threat,” Elliptic’s Lead Crypto Threat Researcher, Arda Akartuna, added.

The report ends with a call for vigilance. For users, that means verifying links, avoiding suspicious downloads, and staying informed. For companies, it means stronger defenses, regular security training, and fostering a “verify before you trust” mindset.

As AI-powered scams become harder to detect, the crypto industry faces a new frontier of risk, one where seeing and hearing no longer means believing.

Following the surge in AI-driven deepfake scams, crypto fraud losses in 2024 reached at least $9.9 billion, according to Chainalysis. While this marks a 29% decline from the $14 billion stolen in 2021, experts warn the true figure could top $12 billion as investigations continue.

One alarming trend is the 210% jump in deposits linked to “pig butchering” scams, a tactic where scammers build trust over time before draining victims’ funds.

Despite more victims falling prey, the average amount lost per person dropped by 55%, suggesting scammers are targeting larger groups with smaller amounts.

The North American Securities Administrators Association (NASAA) points to social media platforms like Facebook, X, Telegram, and WhatsApp as key channels scammers exploit, often using AI-generated content and emotional manipulation tactics such as FOMO and romance scams.

Nearly 40% of regulators predict AI will become the main tool for crypto fraud, with deepfakes expected to rise sharply.

These evolving methods continue to fuel massive losses, underlining the growing challenge regulators and investors face in 2025.

The post AI Deepfakes Plague Crypto, Fueling $4.6B Scam Surge: Report appeared first on Cryptonews.