AI SCAMS: WHAT TO WATCH OUT FOR IN 2023

Artificial intelligence (AI) has been a rapidly developing field over the past few years, with new applications and uses emerging constantly. Unfortunately, as with any new technology, there are people who try to use AI for scams and frauds. In this blog post, we'll look at some of the artificial intelligence scams that have emerged in recent times and how you can protect yourself and your business. 

Deepfake AI Scams 

Deepfakes scams are AI-generated videos or images that make it appear as if someone said or did something they didn't. Criminals are increasingly using deepfakes to impersonate others and commit fraud. As AI technology advances, deepfake scams are becoming more sophisticated and difficult to detect. As stated by David Blaszkowsky, head of strategy and regulatory affairs for Helios Data, “One by one, all the ‘unique’ metrics that protect access to data and accounts are being wiped out, like antibiotics against ever-mutating infectious diseases,” he says. “It has always been easy to fool human ‘gate-keepers’. But with deepfakes it is easier than ever to fool the computers, too.” Below we have listed three deepfake scams to watch out for: 

1. Selfie identification: Attackers will use this attack in order to gain access to your personal information or financial accounts that require selfie identification. With this scam, deepfake technology is used to create a video of someone else that looks and talks like you. The fraudsters may use this technique to trick banks, mobile phone carriers, and other companies that rely on facial recognition technology for identity verification. 

1. Voice authentication: In this type of scam, attackers use deepfake technology to create fake audio of someone's voice to impersonate them and bypass voice authentication systems. This can be used to access confidential information, commit financial fraud, or even impersonate someone in a phone call or a video conference. As advised by the Federal Trade Commision, “Don’t trust the voice. Call the person who supposedly contacted you and verify the story. Use a phone number you know is theirs. If you can’t reach your loved one, try to get in touch with them through another family member or their friends.” 

1. Social media videos: Using this tactic allows scammers to manipulate videos of public figures, celebrities, or politicians, to spread misinformation or propaganda on social media platforms. The deepfake videos can be used to create fake news, spread conspiracy theories, or manipulate public opinion on important issues. 

Chatbot AI Scams 

AI-powered chatbots are becoming more common in customer service and sales, but now they can also be used for scams. Scammers are now using chatbots to impersonate legitimate companies and steal personal information from unsuspecting victims. The Chief executive of the US cybersecurity firm Rapid 7, Corey Thomas, warns, “The idea that you can rely on looking for bad grammar or spelling in order to spot a phishing attack is no longer the case. We used to say that you could identify phishing attacks because the emails look a certain way. That no longer works.” In today's rapidly evolving digital landscape, it is crucial for businesses and individuals to stay vigilant and employ advanced security measures to safeguard against the increasing sophistication of chatbot-driven scams.

Social Engineering AI Scams 

Social engineering is the art of manipulating people to give up sensitive information or perform actions that are against their interests. AI is now making these social engineering scams more effective than ever. Criminals can use AI to analyze social media profiles and other publicly available information to craft personalized scams that are difficult to spot. In fact, recent data released by Darktrace research revealed that novel social engineering attacks using generative AI have gone up by 135% from January to February in 2023. 

Malware AI Scams 

Malware is malicious software that can harm your computer or steal your information. Thanks to AI, malware scams are now more effective due to the criminal’s ability to customize their attacks based on the target's behavior and preferences. For example, attackers might launch a phishing campaign that targets employees with personalized emails or messages that appear to be from a trusted source, such as a senior executive. AI can then be used to scan the company's network for vulnerabilities and exploit them to gain unauthorized access or steal sensitive data. Such attacks can have serious consequences for businesses, including financial losses, reputational damage, and legal repercussions. 

How to Protect Yourself and your business from AI Scams 

To protect yourself and your business from AI scams, it's important to be vigilant and cautious. Here are some tips: 

• Be wary of unsolicited messages, especially if they ask for personal information. 
• Check the URL of any website before entering sensitive information. 
• Install anti-malware software on your devices and keep it updated. 
• Verify the identity of any person or company before sending them money or sensitive information. 
• Decide on a family or company safe word. Share the safe word ONLY with members of your family or team. If you receive a call or email you can request this safe word in an attempt to confirm the validity of the person’s identity.   
• Be cautious of deepfake videos and images, especially if they seem too good to be true. While spotting a deepfake video can be challenging, there are a few key indicators to watch out for. Pay close attention to inconsistencies in facial expressions, unnatural movements, or mismatched lip-syncing. Look for any blurriness or artifacts around the face, especially near the hairline or edges. Additionally, be skeptical of videos that seem too good to be true or depict individuals in improbable situations. When in doubt, it's always wise to verify the authenticity of a video through multiple trusted sources before drawing any conclusions.
• To effectively tackle the challenges presented by deepfakes, organizations and financial institutions must leverage advanced technology to accurately detect deepfakes and enhance fraud prevention. Apart from validating Personally Identifiable Information (PII) during customer onboarding, deep multi-dimensional liveness tests play a pivotal role by analyzing selfie quality and depth cues for face authentication. This is where digital identity verification shines. This approach provides organizations with a comprehensive and accurate understanding of consumer identity, enabling them to identify more legitimate customers while remaining resilient against deepfake attempts. To stay one step ahead, security teams must adopt identity verification processes fortified with predictive AI machine learning analytics, ensuring precise fraud identification and fostering digital trust.

As AI technology advances, so do the scams that criminals use it for. It's important to stay informed about these new AI scams and take steps to protect yourself and your business. By being vigilant and cautious, you can minimize your risk of falling victim to an AI scam. 

iuvo is committed to continuous education and staying at the forefront of emerging AI scams. Our expert team is well-equipped to provide comprehensive training and guidance to companies, ensuring they are equipped with the knowledge and strategies to effectively safeguard themselves against evolving AI-driven threats. Stay ahead of the curve with iuvo and protect your business from potential AI scams. Contact us today.