€19M cryptocurrency fraud ring dismantled using deepfake celebrity videos
Spanish police arrested six members of a criminal organization that defrauded 208 victims of approximately €19 million using AI-generated deepfake videos of celebrities to promote fake cryptocurrency investments. The network, operating in Alicante and Granada, employed algorithmic targeting, impersonation, and false financial documentation before preventing victims from withdrawing their money.
What happened
Operation Coinblack-Wendimine dismantled a criminal organization in Alicante and Granada provinces that used AI-generated deepfake videos of celebrities endorsing cryptocurrency investments to defraud victims. The network published advertisements on websites and social media featuring well-known personalities created with artificial intelligence, thereby impersonating their identities.
Once victims were targeted using algorithmic selection based on victim profiles, the scammers posed as financial advisors, sometimes even simulating romantic relationships. They provided false information through fake websites displaying fictitious returns. When victims attempted to withdraw invested funds, they encountered obstacles and realized they had been defrauded. The organization then contacted victims again with additional scam attempts.
Reported impact
The operation resulted in 19 million euros in losses across 208 documented fraud cases. Investigation began two years prior when a man from Granada reported losing 624,000 euros.
Index analysis
The network used algorithmic targeting to select victims whose profiles matched specific criteria sought by the cybercriminals. The scheme employed sophisticated methods including identity impersonation through deepfake technology and false financial documentation.
Governance controls
Six individuals aged 34 to 57 were arrested, including the suspected organization leader who was apprehended while preparing to flee to Dubai. Agents seized multiple mobile phones, computers, hard drives, a replica weapon, and extensive documentation during property searches. The investigation remains ongoing.
Classification
Sources and evidence
This record was researched and written by the Index, based on the following original reporting.