Victoria, Seychelles, June 26, 2024 – Bitget , the world’s leading cryptocurrency exchange and Web3 company, has released a detailed report on the impact of deepfake technology on the cryptocurrency industry. This document shows a sharp increase in the use of deepfake to commit crimes, causing losses of more than 79.1 billion USD since the beginning of 2022.
This study analyzes the problem of deepfake-related cryptocurrency fraud through victim loss figures, including data from 2022, 2023 and forecasts to 2024. Using reports from the campaign Bitget’s Anti-Phishing Month and expert opinions, research focuses on marketing scams, celebrity speeches and fake educational videos. Social media mentions and data from law enforcement and fact-checking services ensure accuracy, and data is systematically organized to protect user privacy .
Bitget Research’s Deepfake report highlights the increasing sophistication of deepfake use in the cryptocurrency sector, growing 245% globally by 2024 compared to last year. Despite the government’s efforts, quarterly losses from deepfake fraud could reach about $10 billion by 2025. It is predicted that 2024 will end with losses of about $25.13 billion due to crimes related to deepfake.
Gracy Chen, CEO of Bitget, commented on the numbers in the report: “Deepfakes are infiltrating the cryptocurrency space and we can hardly stop them without proper education and awareness. User vigilance and the ability to distinguish scams from genuine services remain the best defense against this type of crime until we have a comprehensive regulatory and cybersecurity framework in place globally. That is why Bitget decided to launch the Anti-Phishing Month campaign in June. In collaboration with Slowmist and other partners, we will publish a series of educational articles and posters, host X Spaces sessions with security tips, and place safety warning signs outside to help users approach cryptocurrencies more safely.”
An in-depth analysis of the techniques used by criminals shows that their preferred methods are social engineering attacks and bots. Fraudsters are also actively using new developments in AI, including behavioral pattern recognition, voice replacement, as well as machine learning and face replacement algorithms. These advances allow criminals to exploit identity theft and spoofing to commit cryptocurrency scams.
Since the beginning of 2022, cryptocurrency-related scams have caused losses of $79.1 billion. Social network scams and bots by deepfake criminals accounted for 14.21% in the first quarter of 2024, with losses reaching 2.03 billion USD. The report also points out that without effective measures, the exponential increase in deepfake crimes in the cryptocurrency sector could increase by up to 70% by early 2026.
Data analysis in the report shows that the number of deepfake-related crimes in the cryptocurrency sector could increase by 70% by early 2026. Key factors driving this increase include market volatility , developments in deepfake technology and social engineering tactics, along with investors taking on higher risks due to unverified information.
The report found that in the cryptocurrency space, the most common types of deepfakes include identity theft, bot networks, market manipulation schemes, investment scams, and more. The most damaging types of fake news include scams, crowdfunding, fake arbitration, social engineering, misinformation, and fake announcements.
Regulating regulatory frameworks and enhancing the technological capabilities of industry players are critical to curbing the rise of deepfake use in the cryptocurrency space. Collaboration between market participants and governments globally is critical to preventing this type of crime from gaining regional dominance.
Bitget supports users by raising awareness about deepfakes and other forms of phishing attacks. With Partnerships with parties such as SumSub Bitget strives to protect 25 million users globally by identifying and preventing deepfake scams with over 99% accuracy through identity verification, facial recognition, documentless verification, and database validation.
About Bitget
Established in 2018,Bitget To be Cryptocurrency Exchange and the world’s leading Web3 company. Serving more than 25 million users from over 100 countries and regions, Bitget exchange is committed to helping users trade smarter with its pioneering copy trading feature and other trading solutions. Formerly BitKeep, Bitget Wallet Bitget is the world’s leading multi-chain crypto wallet, providing a comprehensive range of Web3 solutions and features including crypto wallets, swaps, NFT Marketplace, DApp browser and more. Bitget inspires people to access crypto through collaborations with trusted partners, including Argentine football legend Lionel Messi and Turkish national athletes such as Buse Tosun Çavuşoğlu (world wrestling champion), Samet Gümüş (boxing gold medalist) and İlkin Aydın (national volleyball team). For more information, please visit: Website | X | Telegram | LinkedIn | Discord | Bitget Wallet For media inquiries, please contact: [email protected]
