- Australia’s financial regulatory agency, ASIC, has released its annual report on investment scams.
- Approximately $1.3b was stolen from Australians throughout 2023, with most of the losses coming due to investment scams.
- Meanwhile, about 615 crypto websites were taken down as ASIC puts the blowtorch to investment scam platforms.
- However, ASIC warned Aussies that deepfake videos and other AI technologies could make picking out fraudulent products more difficult.
The Australian Securities and Investment Commission (ASIC) has made investment scams a priority for its task force for the past 12 months – and the team has seen some excellent results.
Since June last year, ASIC has taken down over 7,300 phishing and investment scam websites, with 615 related to false crypto “investment” opportunities.
Despite the progress, investment scams are still rife in Australia, costing victims AUD $1.3b through the course of 2023.
Related: ACCC Alleges Over Half of Facebook’s Crypto Ads Are Scams or Violate Policies
New AI Tech Could Cause an Influx of Believable Scams
In particular, ASIC is focussing on “fake news” and the power of artificial intelligence to create falsified videos of celebrities endorsing non-existent or fraudulent products.
Australians are still losing billions of dollars each year to scams…they use sophisticated techniques to steal information and money…The scams landscape is rapidly evolving. Innovative technology developments…provide new opportunities for scammers to exploit.
Deputy Chair of ASIC, Sarah Court
In better news, the invigorated efforts from Australian authorities have slimmed annual losses by $200 million over the past 24 months, a trend ASIC wants to continue.
The Australian financial watchdog is averaging approximately 700 website takedowns a month, or 20 a day.
Crypto Scams Pale in Comparison to “Regular” Phishing and Investment Scams
Although much is made of crypto’s deregulated, “wild west” nature, traditional investment scams still dominate the loss charts for Aussies.
That said, it is important for crypto investors to remain vigilant when buying into new projects, especially products that flaunt returns that seem too good to be true.
An example posted by the ASIC report was their takedown of the platform Dexa Trade Markets. According to the fake company, their trading website was “internationally regulated” and boasted billions in trading volume.
However, after numerous complaints from investors unable to withdraw funds, ASIC notified their takedown providers and removed the website.
ASIC’s statement demonstrates the need for precaution when using money on any type of investment, whether it’s cryptocurrency or another asset.
Source:
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