Changpeng Zhao, co-founder and former CEO of cryptocurrency exchange Binance, has warned the public and the crypto community about the rise of artificial intelligence-generated deepfake videos that could trick gullible users into investing in fake cryptocurrencies.
Zhao highlights the issue of AI impersonation and cyber fraud. Zhao’s warning comes after a surge in AI fraud targeting cryptocurrency investors, multinational influencers like Ripple CEO Brad Garlinghouse, and celebrities like Taylor Swift.
Such scams attempt to trick people into investing in unsafe programs that could result in them losing money and revealing their identities, highlighting the need for increased education about AI in accepted channels.
CZ Returns and the Future of Binance
Zhao’s latest speech included strategic plans. He will attend Binance Blockchain Week in Dubai after settling legal issues with the US Department of Justice. This is his first participation and appearance since his temporary resignation.
Zhao pleaded guilty to violating US money laundering rules at the world's largest cryptocurrency exchange and served four months in prison.
Zhao's return shows his commitment to blockchain innovation and leadership. With Zhao's return, Binance will continue to research and develop blockchain technology but also face regulatory and industry integration.
AI makes blockchain safer and more efficient, but it also creates new risks. Zhao has warned against the misuse of AI in the process of creating deepfakes, drawing public attention. There is a need to develop and educate responsible AI from and within cryptocurrencies.
Blockchain initiatives that achieve scale and impact must balance innovation and security. The right application of AI can transform industries, but its misuse can have dire consequences, requiring immediate action from developers and the community.
