California Regulator Uncovers Seven New Crypto and AI Scams in 2024

In 2024, the California Department of Financial Protection and Innovation (DFPI) received 2,668 complaints from users reporting seven new types of crypto and AI scams that had not been previously documented. These scams included fake Bitcoin mining schemes, fraudulent crypto gaming schemes, fake job offers requiring victims to transfer crypto, and private information theft through fake airdrops. Additionally, the DFPI shut down over 26 fraudulent crypto websites and uncovered $4.6 million in user losses last year. The California Department of Justice (DOJ) also took down 42 crypto scam websites in 2024, with an average loss per person of $146,306, emphasizing the difficulty in prosecuting international fraudsters who carry out these scams.