According to a June 27 Bitget Research report, losses due to cryptocurrency fraud and counterfeiting schemes could exceed $25 billion by 2024, more than doubling from last year.
Based on Sumsub research data, Bitget recorded a 245% increase in the number of global counterfeit coins in 2024. China, Germany, Ukraine, the United States, Vietnam and the United Kingdom are the countries with the most most counterfeits in the first quarter of 2024. The cryptocurrency industry also saw a 217% increase in counterfeits compared to Q1 2023.
Bitget reports an increase in deep fakes leading to a $6.3 billion cryptocurrency loss in the first quarter. They predict losses will increase to $10 billion per quarter by 2025.
Bitget CEO Gracy Chen said that deepfakes are becoming more prevalent in the cryptocurrency space and stressed the importance of education and awareness to prevent them.
Deepfake scammers still use old tactics like fake projects, phishing attacks, and Ponzi schemes, using deepfake technology to gain investors’ trust. Over the past two years, this method has accounted for more than half of all deepfake-related cryptocurrency losses.
By impersonating influential figures, these schemes create the illusion of credibility and large capitalization, Bitget Research said, thereby attracting investments without thorough due diligence.
