The Australian Securities and Investments Commission (ASIC) revealed that it had in its first one year taken down over 7,300 fraudulent websites aimed at combating investment fraud, with an average of 20 scam websites being removed daily.
The majority of the takedowns involved bogus investment trading sites (5,530), followed by phishing scams (1,065), and cryptocurrency-related scams (615).
“Investment scams remain the leading type of scam impacting Australians, resulting in $1.3 billion in losses in 2023,” it said. “ASIC reminds all consumers to remain vigilant to social media hyperlinks that promote online trading and cryptocurrency investments.”
The Australian Securities and Investments Commission (ASIC) is a government organization in Australia. It makes sure that companies, financial markets, and financial services follow the rules and act fairly. ASIC helps protect consumers and keeps the financial system safe.
ASIC recently warned about fake news articles and deepfake videos featuring public figures promoting scam investment platforms, especially on social media.
These scams, which are a major reason for ASIC’s [scam] website takedowns, are initiated via social media and other digital platforms to trick people into visiting scam websites.
The rise of artificial intelligence (AI) has significantly impacted the landscape of digital scams globally. For another nation, Canada, Fraud cases have surged, with Statistics Canada reporting an increase from 79,000 fraud cases in 2012 to 150,000 in 2022.
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AI tools, particularly generative AI, have empowered scammers to create more convincing and sophisticated scams. These tools can produce realistic text, audio, images, and videos, making it increasingly difficult for individuals to distinguish between genuine and fraudulent content.
Another report from Sift indicated that over 70% of consumers have noticed an uptick in spam and scams, with nearly a third experiencing attempts at fraud using generative AI. This technology allows cybercriminals to automate various aspects of their operations, including phishing attacks and social engineering scams.
Sarah Court, deputy chair of ASIC, noted that while the process of eliminating these websites can resemble a game of whack-a-mole, the initiative is making a difference.
She added that as technology advances, it has become increasingly challenging for the average individual to identify scams, which are initiated through social media feeds.
