AI-Powered Crypto Scams Surge to $14 Billion Annually, Projected to Hit $17 Billion by 2025
The cryptocurrency landscape faces an escalating threat from AI-driven scams, with Chainalysis reporting a $14 billion annual fraud market. By 2025, this figure is expected to reach $17 billion as investigators uncover new illicit fund trails. Artificial intelligence has become the scammers' weapon of choice—generating synthetic identities, deepfakes, and automated social engineering schemes at unprecedented scale.
Pig-butchering schemes dominate the crime wave, luring victims through social media into fraudulent investment platforms. AI-equipped operations now yield 4.5x more revenue than traditional scams, averaging $3.2 million per scheme. While blockchain analytics firms are improving fund tracking and recovery methods, the technological arms race between criminals and investigators intensifies.