These scammers specifically aim to capitalize on the hype surrounding artificial intelligence (AI) technology to attract potential victims. They may use common manipulative words to advertise their fraudulent activities.
Furthermore, these bad guys can also rely on advanced AI technology to impersonate their identities. The rapid growth of #AI has made it much easier for scammers to impersonate government agencies as well as famous individuals (such as Ripple CEO Brad Garlinghouse).
The SEC also warns about scammers reaching out to potential victims through social media to establish online relationships and promote fraudulent investments. Users are therefore advised not to make investment decisions solely based on advice found on the internet. Of course, individuals should never share their sensitive financial information with strangers online.
Furthermore, the SEC also warned about pump and dump schemes involving digital assets. The warning comes amid the growing popularity of #meme s, with many celebrities jumping on the latest cryptocurrency craze by launching their own tokens.
It's worth noting that several popular coins have recently been accused of scams. #SEC specifically mentioned meme coins in its investor warning, saying that promoters often artificially pump up the price of a particular coin to capitalize on the hype.
