The Commodity Futures Trading Commission (CFTC) has issued a new advisory warning of the increasing use of generative artificial intelligence in fraudulent activities. The advisory, released by the Office of Customer Education and Outreach (OCEO), highlights how criminals are leveraging AI to create convincing scams.
The document, titled "Criminals Increasing Use of Generative AI to Commit Fraud," details how fraudsters employ AI to produce fake images, voices, videos, live-streaming video chats, social media profiles, and malicious websites that mimic legitimate financial trading platforms. These tools enable scammers to fabricate identifications with phony photos and videos that can appear authentic to those unfamiliar with recent AI advancements. Additionally, AI is being used to forge government or financial documents.
An FBI public service announcement echoes these concerns, cautioning the public about the role of AI in relationship investment scams. OCEO Director Melanie Devoe emphasized the challenge of distinguishing between real and fake identities created through new technologies. "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 stated. Devoe advised against giving money to individuals met solely online as a primary defense.
The advisory suggests several protective measures for individuals, such as enhancing privacy settings on social media accounts and safeguarding personal or sensitive information from unknown contacts or unrecognized phone numbers.
The Office of Customer Education and Outreach focuses on protecting customers from fraud or violations of the Commodity Exchange Act by developing effective financial education materials and initiatives. OCEO collaborates with federal and state regulators as well as consumer protection groups. More educational resources from CFTC are available at cftc.gov/LearnAndProtect.
