Deepfake fraud is becoming a growing concern for businesses across various sectors, with crypto companies being hit particularly hard. A recent survey conducted by forensic services firm Regula revealed that more than half of crypto companies have fallen victim to audio and video deepfake scams in 2024.
The survey, which included 575 businesses in seven industries, found that 57% of crypto companies reported incidents of audio fraud, while 53% reported fake video scams. These percentages are higher than the average impact proportion of 49% for both types of fraud across different sectors.
Notably, the incidents of audio and video deepfake frauds have seen a significant increase since 2022. Audio deepfakes jumped from 37% to 49%, while video deepfakes leaped from 29% to 49%. Crypto businesses are tied with law enforcement as the most affected by audio deepfake fraud and rank third in occurrences of video deepfakes.
Furthermore, 53% of crypto companies reported falling victim to synthetic identity fraud, where bad actors use various deepfake methods to pose as someone else. This percentage is above the average of 47% and ties with the financial services, tech, and aviation sectors.
On average, businesses across all sectors reported a loss of $450,000 to deepfake frauds. Crypto companies reported an average loss of $440,116, slightly below the general average. However, they still rank third in terms of average losses, with only financial services and telecommunications companies surpassing them.
The survey also highlighted that over 50% of businesses in all sectors see deepfake fraud as a moderate to significant threat. In the crypto sector, 69% of companies view deepfake video scams as a threat worth paying attention to, compared to the average of 59% from all sectors.
Recent high-profile incidents, such as an OKX user losing $2 million in a deepfake scam and a deepfake scam ring in Hong Kong taking over $46 million from victims, have underscored the seriousness of the threat posed by deepfake frauds. As businesses increasingly rely on digital technologies, it is crucial for them to be vigilant and take proactive measures to combat these sophisticated scams.