Spanish Police Bust AI-Powered Crypto Scam Worth $21.5 Million

In Brief:

Over 200 victims were scammed using AI-generated fake celebrity endorsements.

Spanish authorities arrested six suspects, including the alleged ringleader.

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Spanish National Police have dismantled a sophisticated crypto fraud ring that leveraged artificial intelligence to trick investors. The gang used deepfake-style AI videos of celebrities to promote fake crypto investment schemes, stealing over €19 million (about $21.5 million) from more than 200 victims.

The investigation began after a man in Granada lost €624,000. Victims were promised high returns and were later asked to pay more to “unlock” their initial funds. The group’s ringleader was caught trying to flee to Dubai, and suspects are now facing charges of fraud, money laundering, and document forgery.

Authorities warn that this case highlights the growing risks of AI misuse in financial scams, especially in crypto.

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