The misuse of artificial intelligence (AI) poses a growing threat, particularly through the proliferation of deepfake technology. Deepfakes refer to synthetic media, including manipulated images, voices, and videos, that are so convincingly created that they deceive individuals and can result in significant personal, financial, and professional losses. Unfortunately, the stock market is not exempt from this menace, as unsuspecting victims continue to fall prey to deepfake scams.
One alarming incident involved a customer narrowly escaping a scam that could have cost them Rs 1.80 lakh on the well-known stock market platform Zerodha. Deepfake attacks, fueled by the surge of AI-powered applications capable of creating convincing fakes, are on the rise according to Nithin Kamath, the CEO of Zerodha.
The consequences of deepfakes extend beyond individual investors. In May, the stock market experienced a dip caused by a viral deepfake image depicting an explosion at the Pentagon, the US Department of Defense’s headquarters.
Why is there such a sudden increase in deepfake scams? Even before the rise of ChatGPT and the widespread adoption of generative AI, incidents like these occurred. However, now, sophisticated AI tools are readily available to the public, including those with malicious intent. Creating deepfakes no longer requires extensive computing power or high-tech skills.
Scammers have now turned to fake clone apps, which enable them to create videos showcasing fabricated profit and loss statements, trading platform reports, ledgers, and other financial documents. These deepfake videos often appear more authentic than traditional screenshots, making them highly deceptive.
An investigation by India Today’s Open Source Intelligence (OSINT) Team revealed a plethora of Telegram channels offering fake documents, screenshots, and clone interfaces of popular apps like Zerodha, Grow, and Upstox. These channels charge users thousands of rupees monthly, providing them with the ability to manipulate their financial statements.
The urgent need for awareness and protective measures against the misuse of AI and deepfakes is evident. As AI continues to evolve, it poses increasingly significant threats to our financial security and trust in digital communications.
FAQ
Q: What are deepfakes?
A: Deepfakes are artificially generated fake images, voices, and videos that are so realistic they can deceive individuals and businesses.
Q: How can deepfake scams affect the stock market?
A: Deepfake scams can lead to significant personal, financial, and professional losses for individuals and can even cause market fluctuations, as demonstrated by the case of a deepfake image of an explosion at the Pentagon causing a dip in the stock market.
Q: How are scammers using clone apps for deepfake scams?
A: Scammers are utilizing fake clone apps to create deceptive videos of profit and loss statements, trading reports, and other financial documents. These videos often appear more authentic than traditional screenshots, making them highly convincing.
Q: What can individuals do to protect themselves from deepfake scams?
A: Some tips to stay safe from deepfake scams include being skeptical of unsolicited communications, verifying information independently, using secure platforms for financial transactions, looking for clues that might indicate a deepfake, staying informed about the latest scams, reporting suspicious activity, enabling two-factor authentication on accounts, and regularly updating software and devices.
Q: How can the misuse of AI and deepfakes be addressed?
A: There is an urgent need for heightened awareness and protective measures against the misuse of AI and deepfakes. As AI continues to evolve, regulatory efforts and technological advancements can help combat the threats posed by deepfakes.
India Today via https://www.indiatoday.in/technology/news/story/investigation-special-the-rise-of-deepfake-scams-and-clones-of-popular-stock-market-platforms-1868745-2021-07-28