In a crucial update from the CFTC, the OCEO has issued a warning about the growing use of generative AI in fraud schemes.
The advisory, titled “Criminals Increasing Use of Generative AI to Commit Fraud,” sheds light on how criminals are leveraging AI to forge convincing scams involving fake images, voices, videos, and even live-streaming video chats.
These fraudulent activities also extend to the creation of deceptive social media profiles and websites, mimicking legitimate financial trading platforms.
The use of AI by fraudsters doesn’t stop at digital impersonations. They are also employing this advanced technology to create fraudulent identifications, complete with phony photos and videos that appear alarmingly real.
Additionally, AI is being used to forge government and financial documents, a practice that has prompted an FBI public service announcement about the potential dangers of AI in relationship investment scams and other forms of fraud.
OCEO Director Melanie Devoe highlighted the challenges in distinguishing real from fake, stating, “Fraudsters can use new technologies to mask their identities, not only in still photographs, say, in social media profiles, but also in video chats that alter their facial features and voices to match.” She emphasizes the importance of cautious online interactions, advising the public to “never give money to people you only meet online” as a precautionary measure.
The advisory also outlines specific actions that individuals can take to safeguard themselves. These include strengthening the privacy settings on social media accounts and keeping personal or sensitive information confidential, particularly from online acquaintances or unknown callers.
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