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The Department of Financial Protection and Innovation warns of growing tech-enabled scams, with over a trillion dollars lost to scams last year, and provides
The rapid advancement of technology has given fraudsters new tools to trick individuals into dishonest schemes, with consumers worldwide losing over a trillion dollars to scams last year [1]. A woman in France was duped out of $850,000 by a scammer using artificial-intelligence-generated images and recordings, highlighting the sophistication of modern scams [1]. As technology continues to evolve, so do the methods used by fraudsters to deceive unsuspecting victims.
Key takeaways
Scams are an age-old phenomenon, but advances in technology and AI have made it easier for fraudsters to create digital scams [1]. Scammers no longer need to be tech experts to run large-scale operations, as AI tools can quickly generate millions of highly convincing phishing emails, text messages, and fake websites [1]. The Global Anti-Scam Alliance is working to combat scams by bringing together government agencies, law enforcement, financial service providers, social media platforms, and cybersecurity firms to exchange knowledge and coordinate efforts [1].
To combat tech-enabled scams, it is essential to stay ahead of the fraudsters and employ an agile, technology-driven approach [1]. The Department of Financial Protection and Innovation provides resources to help consumers navigate the complexities of crypto transactions and protect themselves from fraud [2]. Additionally, AI-powered solutions, such as those developed by Mastercard, can help identify and prevent scams by combining identity, biometric, AI, and open banking capabilities [1].
The rise of tech-enabled scams has significant implications for consumers, with older adults being particularly vulnerable to fraud [3]. The FBI reported that older adults lost over $7.5 billion to fraud last year, highlighting the need for urgent action to protect this demographic [3]. By staying informed and using the tools and resources available, consumers can reduce their risk of falling victim to tech-enabled scams and help combat the growing threat of cybercrime [2].
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AI-assisted synthesis by the TrendWatcher Editorial Desk · sourced from 3 outlets · Jun 1, 2026 · How we report
A Crypto Scam involving an ATM typically begins when a fraudster contacts a victim, posing as a bank or fraud representative to create a sense of urgency. The scammer convinces the victim to withdraw cash and deposit it into a cryptocurrency ATM, falsely claiming the funds will be moved to a secure account.
A Crypto Scam classified as a wallet drainer is a phishing-based fraud where attackers trick users into connecting their digital wallets to malicious websites. Once connected, the user is prompted to sign transactions that grant the attacker permission to siphon tokens from the wallet.
Crypto Scam funds are difficult to recover because cryptocurrency transactions are often finalized very quickly and are typically irreversible. This speed makes it challenging for law enforcement or financial institutions to track the movement of stolen assets and return them to the victim.
To protect against a Crypto Scam, the FBI recommends independently verifying the identity of anyone contacting you and never sharing personal information with unsolicited callers. Additionally, users should treat any pressure to act immediately as a warning sign and consult a trusted person before transferring money.