New York Warns of AI Driven Crypto Scams as 2025 Losses Top $8 Billion

According to Arzdigital, the New York Attorney General's office warned that AI generated content and fake crypto projects have made scam advertising far more convincing. Official data from the US Federal Trade Commission (FTC) shows losses from these schemes topped 8 billion dollars in 2025, up 38 percent from the prior year; more than 144,000 consumers were victimized, with an average loss of about 10,560 dollars per person.

The New York Attorney General said scammers use AI to clone voices, produce deepfake videos and impersonate celebrities to lure social media users, including on Facebook and WhatsApp, toward fake trading platforms. Officials advised investors to treat promises of guaranteed high returns, pressure for quick decisions, and a lack of transparent documentation as warning signs before transferring any funds.