Bitget Partners With Sumsub To Combat Deepfakes Scams

On June 4, Bitget exchange collaborated with Sumsub, an identity verification provider, to improve its security and prevent users from deepfake scams that are becoming prevalent in the crypto space.

Bitget and Sumsub Collaboration Will Provide 25M Users Worldwide

Bitget announced that its partnership with Sumsub will provide security measures for its 25 million users across the world, as it will be able to identify and prevent deepfake scams with an accuracy rate exceeding 99%.

Sumsub will provide Bitget with a range of know-your-customer (KYC) tool sets, including identity verification, facial biometrics, non-document verification, and database validation.

Deepfakes are AI-generated media, such as videos or images, that convincingly depict individuals saying or doing things that never actually occurred. These technologies have raised major concerns due to their potential misuse, including fraud and misinformation.

The consequences of deepfake attacks can be severe, as seen in a recent fraud where scammers stole $2 million from an OKX user, Fang Chang. After his personal information was compromised in a Telegram data breach, scammers used an AI-generated deepfake video to impersonate Chang and proceeded to change his security settings, including email ID and Google authenticator settings.

This incident is part of a broader trend of AI-related fraud in the cryptocurrency sector.

According to a report by Fortune on February 6, a crime-centric website dubbed “OnlyFake” is active and provides highly realistic fake IDs capable of deceiving KYC processes at crypto exchanges.

In a separate event, Quantum AI used Elon Musk’s deepfake to promote him as the lead developer to deceive unsuspecting individuals into believing he was the brain behind the platform. This led to the Hong Kong Securities and Futures Commission (SFC) cracking down on Quantum AI as it warned investors against the fraudulent crypto exchange.

JUST IN: Hong Kong Securities and Futures Commission Issues Warning Against Quantum AI

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These examples highlight the rise and ease of access to AI deepfake scams, raising concerns among cryptocurrency sector leaders and, thus, the importance of robust security measures, such as those provided by the partnership between Bitget and Sumsub.

Deepfake Scams Expand Beyond the Crypto Sector

The threat posed by deepfakes extends far beyond the cryptocurrency world, with AI technology advancing to potentially infiltrate industries such as finance, healthcare, and government.
According to Sumsub’s Q1 report on deepfake fraud worldwide, released on May 30, there has been a staggering 245% year-over-year increase in deepfake scams globally. The report highlights the rise in deepfakes in countries with election exercises in 2024, such as the US, India, Indonesia, Mexico, and South Africa.
Additionally, the report indicates a growth in deepfake scams across various industries. In Q1 2024, the sectors most affected by deepfakes were crypto, fintech, and iGaming.
Compared to the previous year, there was a heightened increase in the number of deepfake cases, with a 1520% rise in iGaming, 900% in marketplaces, 533% in fintech, 217% in crypto, 138% in consulting, and 68% in online media.
The collaboration between Bitget and Sumsub will utilize AI-powered deepfake detection and fraud prevention measures. This partnership is important for both companies to uphold high-security standards and protect their users from the growing threat of deepfake scams.