Crypto thieves will deploy more convincing AI scams in 2024, firms warn

Crypto investors will have to keep their eyes peeled for sophisticated phishing scams and a plethora of smart contract vulnerabilities next year, according to blockchain security firms.

AI-powered phishing scams, BRC-20 exploits, and new smart contract vulnerabilities are among the biggest threats that crypto projects and investors will likely face in 2024, according to blockchain security firms.

While the $1.7 billion in scam and hack-related losses in 2023 stands as an undeniable improvement to the $4 billion lost in 2022 — Jesse Leclere, a blockchain analyst from CertiK, warned Cointelegraph that scams are only becoming more advanced and users should remain hyper-vigilant for well-executed exploits.

“Phishing, evolving in its sophistication, will likely target not only individual users but also corporate systems [...] using social engineering tactics tailored to the crypto context,” said Leclere, pointing to the Dec. 14 Ledger Connect exploit as a prime example of an advanced attack.

One of the key elements that will see phishing scams become more nefarious is the use of generative AI, he added, allowing hackers to automate operations and create convincing fake calls, videos, and messages through which to ensnare potential victims.