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Spanish police have arrested six individuals behind a large-scale cryptocurrency investment scam that used AI-generated deepfake videos of celebrities to deceive victims.
Codenamed Coinblack_Wendmine, the operation began in 2023 after authorities received complaints from several victims. As investigations expanded, police discovered hundreds of people around the world had been targeted.
“With the help of AI, the scammers created fake promotional videos featuring well-known public figures from different countries, all endorsing the same fraudulent investment schemes,” Spain’s Policia National reported. “This greatly increased the victims’ trust in the scams.”
The fraud was carried out in multiple stages. First, scammers used emotional manipulation to build fake personal relationships with their targets, often posing as financial advisors. Once trust was established, they pitched cryptocurrency investment opportunities—projects they completely fabricated.
To improve their chances of success, they used AI algorithms to carefully select victims based on online profiles. Then they generated deepfake videos of celebrities promoting these investment platforms, further convincing victims that their money was safe.
Initially, victims would receive fake profits, manipulated on the backend to build confidence and encourage larger investments.
Eventually, the scammers would claim that the funds were “locked” or “blocked” due to an error and blame the victim. The only solution offered was to deposit even more money to "unlock" their account. In some cases, they continued demanding additional payments, or simply cut off all communication once the funds were received.
In the final phase of the scam, they even used AI-generated voices imitating police officers, agents, or lawyers, claiming that the money had been recovered—but to receive it, the victim needed to pay a "tax" or service fee.
According to Policia National, 208 victims were identified worldwide, with total losses amounting to $20.9 million USD. The arrested individuals, aged between 34 and 57, were based in Granada and Alicante, Spain.
Police also seized €100,000 in cash, phones, computers, hard drives, weapons, and various documents. To launder the money, the scammers had created multiple shell companies, and the group's ringleader operated under more than 50 different aliases.
Authorities urged people to remain cautious of investment opportunities that promise unusually high returns. Always research platforms carefully—especially their legitimacy and transparency—before transferring any funds. If a platform pressures you to pay more money to withdraw your earnings, it's likely a scam. Report such incidents to local authorities immediately.
"AI-generated deepfake videos are becoming increasingly realistic. It's important not to trust them blindly. Instead, people should educate themselves about online safety, investment basics, and how AI is used in scams," said the Policia National.
In mid-2024, the Australian Competition and Consumer Commission (ACCC) reported that Australians lost $8 million due to online investment scams powered by deepfake technology. A common tactic involved using AI-generated images of celebrities alongside fake news articles and websites to lure victims into giving money.
Experts and global agencies have issued warnings about the rising use of AI in fraud. Evan Dornbush, former cybersecurity expert at the NSA, told Forbes that AI allows scammers to craft convincing messages faster and at lower costs. Meanwhile, Europol warned that AI is accelerating the pace of cybercrime.
U.S. officials have also advised the public to be vigilant: never trust anyone who only accepts crypto payments, or who promises massive profits from small investments.
Codenamed Coinblack_Wendmine, the operation began in 2023 after authorities received complaints from several victims. As investigations expanded, police discovered hundreds of people around the world had been targeted.
“With the help of AI, the scammers created fake promotional videos featuring well-known public figures from different countries, all endorsing the same fraudulent investment schemes,” Spain’s Policia National reported. “This greatly increased the victims’ trust in the scams.”
A Sophisticated Multi-Stage Scam
The fraud was carried out in multiple stages. First, scammers used emotional manipulation to build fake personal relationships with their targets, often posing as financial advisors. Once trust was established, they pitched cryptocurrency investment opportunities—projects they completely fabricated.
To improve their chances of success, they used AI algorithms to carefully select victims based on online profiles. Then they generated deepfake videos of celebrities promoting these investment platforms, further convincing victims that their money was safe.
Initially, victims would receive fake profits, manipulated on the backend to build confidence and encourage larger investments.
Eventually, the scammers would claim that the funds were “locked” or “blocked” due to an error and blame the victim. The only solution offered was to deposit even more money to "unlock" their account. In some cases, they continued demanding additional payments, or simply cut off all communication once the funds were received.
In the final phase of the scam, they even used AI-generated voices imitating police officers, agents, or lawyers, claiming that the money had been recovered—but to receive it, the victim needed to pay a "tax" or service fee.
Global Victims, Millions in Losses
According to Policia National, 208 victims were identified worldwide, with total losses amounting to $20.9 million USD. The arrested individuals, aged between 34 and 57, were based in Granada and Alicante, Spain.
Police also seized €100,000 in cash, phones, computers, hard drives, weapons, and various documents. To launder the money, the scammers had created multiple shell companies, and the group's ringleader operated under more than 50 different aliases.
Authorities urged people to remain cautious of investment opportunities that promise unusually high returns. Always research platforms carefully—especially their legitimacy and transparency—before transferring any funds. If a platform pressures you to pay more money to withdraw your earnings, it's likely a scam. Report such incidents to local authorities immediately.
"AI-generated deepfake videos are becoming increasingly realistic. It's important not to trust them blindly. Instead, people should educate themselves about online safety, investment basics, and how AI is used in scams," said the Policia National.
A Growing Threat
In mid-2024, the Australian Competition and Consumer Commission (ACCC) reported that Australians lost $8 million due to online investment scams powered by deepfake technology. A common tactic involved using AI-generated images of celebrities alongside fake news articles and websites to lure victims into giving money.
Experts and global agencies have issued warnings about the rising use of AI in fraud. Evan Dornbush, former cybersecurity expert at the NSA, told Forbes that AI allows scammers to craft convincing messages faster and at lower costs. Meanwhile, Europol warned that AI is accelerating the pace of cybercrime.
U.S. officials have also advised the public to be vigilant: never trust anyone who only accepts crypto payments, or who promises massive profits from small investments.
