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ProKYC Tool Allegedly Facilitates Deepfake-Based Account Fraud on Cryptocurrency Exchanges

October 9, 2024

Cato CTRL security researchers discovered that the cybercriminal group ProKYC is selling an AI-driven deepfake tool designed to bypass biometric and two-factor authentication systems on cryptocurrency exchanges. The tool utilizes synthetic identities created through AI-generated videos and forged documents, facilitating fraudulent account creation. A demo video from ProKYC showcases the tool's functionality against ByBit, demonstrating how attackers can verify fake accounts for illicit activities like money laundering and identity theft.

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Matched TAIM controls

Suggested mapping from embedding similarity (not a formal assessment). Browse all TAIM controls

Alleged deployer
prokyc
Alleged developer
prokyc
Alleged harmed parties
bybit, cryptocurrency-exchanges, cryptocurrency-investors

Source

Data from the AI Incident Database (AIID). Cite this incident: https://incidentdatabase.ai/cite/819

Data source

Incident data is from the AI Incident Database (AIID).

When citing the database as a whole, please use:

McGregor, S. (2021) Preventing Repeated Real World AI Failures by Cataloging Incidents: The AI Incident Database. In Proceedings of the Thirty-Third Annual Conference on Innovative Applications of Artificial Intelligence (IAAI-21). Virtual Conference.

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