Deepfakes Fuel Surge in Crypto Scams
Deepfake scams have become increasingly sophisticated, using AI to manipulate authorized users rather than break blockchain code. According to TRM Labs' new AI-in-Crime Adoption Index, reported losses from deepfake scams in 2026 have already exceeded last year's total by 263%.
The index classifies scams as the only crypto-crime category where artificial intelligence has reached a 'Mature' level of adoption. TRM said reports involving scammer-side use of AI, including deepfakes, chatbots and AI-powered lures, have risen roughly 13-fold since 2022.
The shift exposes a weakness that traditional smart-contract security does not address. Even if an exchange account is properly authenticated, a hardware wallet can sign correctly, and a smart contract can execute exactly as programmed, funds can still reach an attacker if a deepfake convinces the person controlling those systems to approve the transaction.
The FBI's 2025 Internet Crime Report recorded 22,364 complaints carrying an AI-related descriptor and $893.35 million in associated reported losses. Separately, complaints involving cryptocurrency descriptors totaled $11.37 billion in losses.