Crypto scammers are taking advantage of the latest technological developments in artificial intelligence (AI) to fool investors.
California regulators said on Thursday that scammers used AI to generate fake CEOs to deceive potential investors.
The California Department of Financial Protection and Innovation (DFPI) also announced its latest crackdown to protect residents from crypto scams, sending cease and desist letters to five firms claiming to make a profit from the current AI hype, according to reports by Decrypt.
The DFPI targeted Maxpread Technologies, Harvest Keeper, Coinbot, QuantFund, and Visque Capital which it accused of making false promises relating to profitability and offering unqualified securities.
The agency purports the companies made exaggerated claims about increasing their returns using AI for crypto trading and multi-level marketing schemes to attract unsuspecting victims. The DFPI said on Twitter:
Scammers like to deceive investors by using phony CEOs, sham alg
We współpracy z: https://cryptodaily.co.uk/2023/04/crypto-scammers-using-ai-to-dupe-investors
