AI is great but…
With Artificial Intelligence or AI, the scams are becoming more elaborate and convincing. While political deepfakes will most likely take over soon as we close in on the US election, crypto currencies, in particular bitcoin, are still the most popular subject of online scams. If you are a crypto investor, or planning on becoming one, you need to be mindful of what AI is capable of and getting exponentially better at. AI is becoming more conversational, Microsoft’s AI called VALL-E for example needs about 3 seconds to imitate anyone's voice.
Deepfake technology has found its way into the realm of advertising, revolutionizing how brands interact with their audiences when done legally and ethically. Marketers are increasingly exploring the potential of deepfakes to create captivating and personalized content. The ability to seamlessly integrate deepfake elements into advertisements has opened new avenues for storytelling and audience engagement.
However, that also means that scammers are able to create videos of popular influencers like Elon Musk, Cathie Wood, Joe Rogan, Taylor Swift and pretty much anyone, all to try and trick you into sending them money, crypto or your private keys, seed phrases or login credentials. To see the difference between creative advertising and fake ads has become quite challenging for many. Hopefully the flood and sophistication of these deepfakes will actually create more awareness of them and make people more cautious towards them.
The rule for investing in bitcoin or any other crypto currency is pretty simple. While it’s okay to search and research the web for valuable information, once you are ready to buy, you should only deal with an exchange like Kraken or a discount broker like Wealth Simple. There is no such thing as a bitcoin or crypto currency investment service. Having a third party between you and your crypto carries a big risk, since this is still a very underregulated sector.
But it’s also a risk that you don’t have to take. You can eliminate any third party between you and your crypto investment by transferring it into a cold wallet, which keeps your keys offline and protects you from on-chain threats. Even after you purchased crypto on Kraken or Wealth Simple, eventually you should transfer your holdings into such wallet.
One of the most attractive features of bitcoin and other crypto currencies is that no third party, like a central bank or exchange, has to be involved in any transactions. The price of your crypto will equally fluctuate, no matter if in a wallet or on an exchange. So, why not cutting down that risk of fraud by avoiding that third party.
