Deepfake AI Used to Drain $11 Million From Crypto Exchange Account

An account on a crypto exchange holding about $11 million was drained by hackers using deepfake AI technology, according to a new report.

An account on a crypto exchange holding about $11 million was drained by hackers using deepfake AI technology, according to a new report.

Crypto LaLa, the pseudonymous operations manager at Quant Matter, reported that their OKX account was compromised within 25 minutes without triggering any email or two-factor authentication warnings. “I couldn’t believe my eyes,” Crypto LaLa wrote, expressing disbelief and frustration over the theft.

OKX is a cryptocurrency exchange and trading platform that offers a wide range of services for digital asset trading and investment. The platform is known for its high liquidity and advanced trading features, catering to both individual traders and institutional investors.

OKX supports various trading options such as spot trading, futures trading, and margin trading, allowing users to engage in different strategies to maximize their returns. Quant Matter is a quantitative trading firm specializing in market-making and multi-asset trading, including futures, options, stocks, commodities, forex, and cryptocurrencies.

Star Xu, the founder of OKX, said that a sophisticated “coin-stealing hacking gang” used deepfake AI to bypass facial recognition security measures, allowing them direct access to the account, and highlighted the audacity of these hacker gangs for misleading the victims into believing the exchange itself was responsible for the theft.