California (Web Desk): Researchers and authorities have warned young people in the United States that new and increasingly sophisticated cryptocurrency scams are rapidly spreading across TikTok, Instagram, Twitch, and online gaming platforms. Scammers are using artificial intelligence and deepfake technology to attempt to steal people's money within minutes.
In a warning issued on Monday, California Attorney General Rob Bonta said criminals are targeting Generation Z through social media websites, live-streaming platforms, and various digital investment schemes. Generation Z refers to the generation of people born between 1997 and 2012.
According to figures presented by Rob Bonta, American citizens lost a total of $20.9 billion to internet fraud during 2025, of which $11.4 billion was lost to cryptocurrency-related scams.
He said these are essentially the same old fraud schemes that authorities have been combating for a long time. However, widespread access to cryptocurrency has provided scammers with a new and dangerous means of stealing people's money.
Authorities have also identified several common types of online scams targeting young people, including sexual extortion and fraud involving artificial intelligence-generated voices and deepfake videos.
In sexual extortion schemes, criminals threaten victims by warning that their private images or personal information will be made public unless they pay money or transfer cryptocurrency. Victims are intimidated and pressured into handing over money.
Another form of fraud involves the use of artificial intelligence-generated voices and deepfake videos. Through these technologies, scammers impersonate relatives, celebrities, or trusted individuals to persuade people to transfer money or disclose sensitive information.
Authorities have warned young people not to blindly trust unusual investment offers found online, unexpected financial demands, or suspicious messages. Avoiding money transfers without verifying a person's identity is an important step in protecting oneself against online fraud.