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Fraudsters Exploit AI-Created Dipfakes to Circumvent KYC Checks on Cryptocurrency Exchanges

Fraudsters use AI-created dipfakes to bypass KYC (know your customer) checks on cryptocurrency exchanges, including Binance.
This was reported by the head of security of the largest trading platform.

Jimmy Su admits that with each passing day, attackers are becoming more advanced and the technology they use more sophisticated:

“Some checks require the user to, for example, blink their left eye or look left or right, look up or look down.

Dipfakes today are advanced enough to actually execute those commands.”

Su said the technology allows the generated images to respond correctly to audio instructions designed to verify: whether the applicant is human. And dipfakes can do this in real time.

“Hackers look somewhere on the net for a normal photo of the victim.. Then they use dipfake to create videos and bypass blocking,” says the head of security.

Last year, attackers tried to defraud cryptocurrency project owners with dipfake by trying to impersonate Binance public relations director Patrick Hillmann.

The attackers used a fake video of the exchange founder’s face to promote a suspicious cryptocurrency giveaway site on Twitter in the wake of the FTX crash.