Sumsub’s Deepfake AI Detection. Deepfakes, which are sophisticated artificial intelligence (AI)-generated fake identities that are developing at an alarming rate, pose a growing threat to cryptocurrency. To improve security and safeguard customers, exchanges like Bitget have partnered with Sumsub, a prominent Know Your Customer (KYC) verification company, to tackle this issue.
According to a press release from Bitget, the partnership attempts to protect its 25 million customers globally by detecting and stopping deepfake scams with an accuracy rate of more than 99%. Bitget will receive identity verification, facial biometrics, database, and non-doc verification via Sumsub.
Given the startling 245% rise in deepfakes detected across all industries and the recent 217% increase in deepfakes detected in the crypto sector between the first quarters of 2023 and 2024, Sumsub’s AI-powered deepfake detection and fraud prevention will help ensure both businesses meet strict security standards.
There is considerable reason to be afraid of deepfakes. These sophisticated identity scams can defeat even the most effective security measures, putting unwary consumers at risk of financial ruin. The repercussions include loss of faith in the cryptocurrency ecosystem, empty accounts, and identity theft.
Deepfakes in the Crypto World
AI-generated deepfakes are a major threat to the KYC paradigm as the digital landscape changes, affecting a number of businesses, including cryptocurrency. A website by the name of OnlyFake has gained attention for supposedly getting around the KYC procedures of several well-known cryptocurrency trading platforms.
Artificial intelligence (AI)-generated movies of Elon Musk and false material were used by a fraudulent cryptocurrency exchange website in May to advertise trading services. When the exchange was discovered to be posting AI-generated movies and pictures of Musk on its website and social media accounts, Hong Kong authorities launched an investigation.
Leaders in the Bitcoin industry are also concerned about the widespread and simple access of AI deepfake technology, particularly when determining the validity of the video verification procedures used in particular identity validations.
Deepfakes Outside Crypto
However, the threat that deepfakes pose is not exclusive to the cryptocurrency sector. Deepfakes are expected to spread to other sectors of the economy, including government, healthcare, and finance, as AI technology develops. Residents of New Hampshire stated that on January 20 and 21, they received robocalls, including the voice of US President Joe Biden, advising them not to cast a ballot in the state primary on January 23.
The event led American officials to outlaw the use of AI-generated voices in automated phone scams, declaring them unlawful under the country’s telemarketing regulations.
