Here are the most common red flags for crypto scams in 2025
Cryptocurrency scams are expected to become more sophisticated in 2025, leveraging AI-generated deepfakes, fake trading platforms, and phishing tactics. To explain the best steps to protect yourself, TheStreet Crypto spoke to Nati Tal, the cybersecurity expert and Head of Guardio Labs, the research unit of the cybersecurity firm.
TheStreet Crypto: What are the most common types of cryptocurrency scams we will see 2025, and how have they evolved from previous years?
Nati Tal, Cybersecurity Expert and Head of Guardio Labs:
We’re seeing scammers increasingly use fake trading platforms, phishing emails, and malicious QR codes to exploit the buzz around cryptocurrency. In 2025, these scams will become even more convincing with AI-generated deepfakes and hijacked livestreams, targeting unsuspecting investors with fake giveaways and bogus investment schemes.
Can you explain how AI (artificial intelligence) is being used by scammers to create more convincing phishing attacks and deepfake endorsements?
Tal:
AI enables scammers to craft highly realistic fake websites, phishing emails, and deepfake videos of celebrities endorsing crypto schemes. At Guardio, we’ve blocked sites and promoted social posts that leverage these tactics, using AI to deceive victims into thinking they’re interacting with trusted platforms or individuals. For example, scammers often use deepfakes of Elon Musk to promote crypto scams.
You can see an example in this tweet.
What specific red flags should consumers watch for when evaluating cryptocurrency investment opportunities in 2025?
Tal:
Red flags include websites with subtle misspellings in their URLs, overly aggressive urgency tactics, promises of guaranteed profits, and promotions tied to high-profile events. Note that you will never be asked to provide your secure wallet key phrases—no matter what!
No one will ever ask you for your wallet details unless you’re actively invoking a genuine recovery process (e.g., re-installing the app on a new phone). If a platform asks you to move funds from your wallet to their address, it’s wise to verify that address in the blockchain history to ensure it’s legitimate and active. Scammers often create temporary wallets for each scam, using them briefly before abandoning them to avoid being blocked. An address with little to no activity, yet claimed to be used for high-volume trading, is a major red flag!
Always use trusted platforms backed by real companies. Look for company profiles, founders, verified office addresses, phone numbers, and customer support you can interact with directly. Guardio helps users identify these warning signs and blocks access to phishing sites before any harm is done.
How can individuals verify the legitimacy of a cryptocurrency platform or investment before committing their funds?
Tal:
Always visit official websites directly rather than clicking on ads or links in emails. Research the platform’s reputation through trusted sources, ensure it’s regulated, and verify any endorsements independently. Check if there is a real company behind this platform - read the company profile and founders/directors bio, and see there are real office addresses, phone numbers, and customer support you can actually interact with.
In your experience, what are the most effective strategies for reporting and recovering from a cryptocurrency scam?
Tal:
Report scams to local authorities, the cryptocurrency platform, and relevant regulatory bodies like the FTC. Act quickly by contacting your bank or credit card company and tracking transactions. Use crypto-specific recovery services cautiously, as some may also be scams. It's safer to connect directly with your wallet provider for assistance.
How do you see the role of regulatory bodies evolving in response to the increasing sophistication of crypto scams?
Tal:
Regulatory bodies will likely strengthen their oversight, enforce stricter platform regulations, and introduce public education campaigns. They might also collaborate internationally to track and mitigate scams more effectively, given the global nature of crypto fraud. This is probably the next step of crypto-trading - without at least basic regulations (that in some way harm the basic nature of the anonymous free to use cryptocurrency) we will keep on seeing large-scale scams and trading platforms losing all their customers’ money without decent actions and safety measures,
Could you discuss the psychological tactics that scammers use to manipulate potential victims into investing?
Tal:
Scammers prey on emotions like greed and fear of missing out (FOMO). They create urgency by offering "limited-time" deals and exploit trust by impersonating well-known personalities or brands. These tactics lower victims’ defenses, leading them to act impulsively. AI is a big step forward in creating those kinds of deceptions – deep-faking known personas or even family members, generating real-looking content, and even personalizing the narrative automatically to the targeted victim.
What advice would you give to someone who suspects they have been targeted by a scam but is unsure of what steps to take next?
Tal: Stop engaging immediately, avoid sharing any personal or financial details, and verify the source independently. Block phishing attempts and scan for malicious activity to ensure your devices and accounts remain secure.