• The California Department of Financial Protection and Innovation (DFPI) has charged five financial services firms with exploiting investor interest in cryptocurrencies by capitalizing on the buzz surrounding artificial intelligence.
• Some crypto scammers are using AI to create fake CEOs and other executives in a bid to deceive and swindle potential victims.
• Synthesia.io is a video generation platform that uses artificial intelligence to create lifelike video content, allowing users to generate high-quality video content quickly and efficiently.
Rise of Crypto Scams Targeting Naive Investors
The number of crypto scammers targeting naive investors rises in tandem with the rising interest in Artificial Intelligence (AI). As AI technology becomes increasingly accessible, some crypto scammers are taking advantage by creating fake CEOs and other executives in an attempt to deceive their victims.
California Department of Financial Protection & Innovation Charges 5 Companies
Thursday, the California Department of Financial Protection and Innovation (DFPI) charged five financial services firms with exploiting investor interest in cryptocurrencies by capitalizing on the buzz surrounding artificial intelligence. Two of the companies, Maxpread Technologies and Harvest Keeper, are accused of misrepresenting their CEOs by using an actor for one and a computer-generated avatar by the name of “Gary” for the other.
Synthesia: Video Generation Platform Using AI
Synthesia.io is a video generation platform that uses artificial intelligence to create lifelike video content. This platform allows users to generate high-quality videos quickly and efficiently by simply typing out or uploading voiceover scripts and selecting an AI-generated presenter or avatar to deliver it onscreen. On April 8th, a promotional YouTube video was uploaded with an address purportedly given by CEO “Michael Vanes” utilizing this platform; however, DFPI claims that this figure does not exist at all.
Exploiting Investor Interest In Cryptocurrency
Crypto scammers like to deceive investors by using phony CEOs, sham algorithms, & Ponzi schemes; DFPI issued desist & refrain orders against those who violated CA securities laws as part of its efforts to combat such scams from taking advantage of people’s investments in cryptocurrency.
Conclusion
It is clear that crypto scammers are becoming increasingly sophisticated as they use AI technology for deception purposes; therefore it is important for potential investors be aware of such tactics when considering investing money into any venture involving cryptocurrency or artificial intelligence technologies.
