CRYPTO CRIME | AI-Powered Crypto Scams Rose 30% YoY in 2025, Says Binance

Leading crypto exchange, Binance, said it blocked $10.53 billion in potential fraud losses and protected more than 5.4 million users between the start of 2025 and the first quarter of 2026 as the company ramped up the use of artificial intelligence to combat increasingly sophisticated scams.

The exchange said AI-powered scams, including

• phishing,
• deepfakes,
• fake platforms, and
• impersonation schemes,

were becoming cheaper and easier to deploy at scale with crypto-related fraud rising 30% year-on-year to $17 billion in 2025.

Binance said it now operates more than 100 AI models and over 24 AI-driven security initiatives across its platform. In Q1 2026 alone, the company said it intercepted 22.9 million scam and phishing attempts, helping safeguard nearly $2 billion in user funds.

The company added that AI-driven fraud controls now account for 57% of its anti-fraud systems, contributing to a 60%-70% reduction in card fraud rates compared with industry benchmarks.

Binance also said its identity verification systems had been upgraded to detect increasingly advanced deepfakes and synthetic identities, while its new ‘Binance AI Pro’ architecture segregates AI-managed funds from main user accounts and restricts withdrawal access.

The exchange said it had blacklisted more than 36,000 malicious wallet addresses and issued over 9,600 real-time warnings daily to users in an effort to counter emerging threats.

In addition to prevention efforts, Binance said it helped recover $12.8 million across 48,000 cases in 2025, a 41% increase from a year earlier, while also assisting authorities in confiscating $131 million in illicit funds.

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