Potential investors targeted by social media ads for high-yield investment platforms are led through carefully staged online ecosystems, which include deepfake videos featuring political figures promoting automated crypto trading bots.
Scammers have fabricated news articles and spoofed media websites praising the fake digital asset platforms. In some cases, AI-generated reviews and social media comments provide synthetic “social proof.” Victims are sometimes shown small initial returns on fake user dashboards to build trust before being pressured to make larger deposits.
Once victims hand over their money or transfer crypto assets to these platforms, the funds are routed directly to overseas criminal syndicates and lost.
High-Profile Figures Hijacked for Financial Fraud
According to data from the National Anti-Scam Centre, the most frequently impersonated figures in these schemes during FY26 included Australian Prime Minister Anthony Albanese, financial commentators Tom Piotrowski and Alan Kohler, and other prominent public figures, accounting for more than $ 7.4 million in reported losses.
ASIC Chair Sarah Court warned that the rapid evolution of generative AI has made online investment scams significantly harder for everyday consumers to detect.
“AI is making investment scams more convincing and harder to detect. A simple online search is not enough to verify whether an opportunity is legitimate,” the court said. “The presence of polished content, familiar branding or convincing testimonials does not mean an investment is legitimate.”
ASIC noted that fraudsters frequently hijack or fabricate Australian Financial Services Licence details to give their fake crypto platforms an aura of legitimacy.
In response to the surge in AI-fueled crypto and financial fraud, ASIC and Scamwatch urge consumers to take strict verification steps before transferring money or digital assets. These steps include withholding funds or data, searching ASIC’s official, free public Professional Registers to confirm that the entity behind the platform is licensed to offer financial services in Australia, and ensuring contact details match.
Prospective investors must also check official resources such as the Moneysmart Investor Alert List to see if an entity or domain has already been flagged as a suspected scam.
While ASIC has taken down more than 33,400 malicious links, fake platforms, and social media ads over the last three years, officials stress that prevention remains the frontline defense against investment scams operating from overseas jurisdictions.