Quick Look:

A deepfake scam featuring an AI-generated Elon Musk cryptocurrency exposes deepfake technology’s threat.
Dogecoin’s price dropped by 12% after the scam, reflecting investor concerns and market volatility.
A five-hour YouTube livestream mimicked a Tesla event, convincing viewers to send cryptocurrency with promises of doubled returns.
Twitter is launching X Payments, securing licenses in 28 states to diversify revenue and enhance user engagement.

An AI-generated deepfake scam featuring Elon Musk’s cryptocurrency deceived thousands of cryptocurrency enthusiasts on YouTube over a recent weekend. The event highlighted the increasing threat of deepfake technology and its potential to exploit the growing cryptocurrency market. As the use of such technology becomes more prevalent, the need for stringent security measures on digital platforms is more critical than ever.

Dogecoin Prices Plummet 12% After Deepfake Musk Scam

In the aftermath of the scam, the price of Dogecoin dropped by 12% over the past week. The decline is attributed to the loss of confidence among investors following the scam, which targeted popular cryptocurrencies, including Bitcoin and Ethereum. This sharp decline underscores the volatility of the Elon Musk cryptocurrency market and the impact of fraudulent activities on investor sentiment and market stability.

AI Deepfake Elon Musk Cryptocurrency Promises  Giveaway on YouTube 

Over the weekend, YouTube hosted a five-hour livestream. An AI-generated Musk announced a “revolutionary” Tesla event alongside a “generous Elon Musk cryptocurrency giveaway.” Besides, the live stream convincingly mimicked a genuine Tesla event with high production quality. Its verified account appearance duped many viewers. Moreover, the scam asked viewers to send Bitcoin, Ethereum, or Dogecoin to a specific address, promising to double their investment—a classic fraud tactic that unfortunately claimed many victims.

The convincing nature of the scam, which featured a detailed backdrop of a Tesla event, added to its credibility. The scammers’ use of deepfake technology and verified YouTube accounts underscored the sophistication of modern digital fraud techniques. This incident is a stark reminder of the dangers advanced AI technologies pose when misused.

Twitter to Launch X Payments Platform in the US

In a related development on Monday, Twitter CEO Linda Yaccarino revealed that Twitter’s new payments platform is set to launch soon, initially in the United States. X Payments, a subsidiary of Twitter, has already secured money transmitter licenses in 28 states and is in the process of obtaining licenses in the remaining states. This move signifies Twitter’s ambition to diversify its revenue streams and enhance user engagement through financial services.

Twitter to Offer Minimal Fees in New Payments Service

Elon Musk is steering Twitter towards launching a comprehensive payments service, although it currently does not include Elon Musk cryptocurrency integration. X Payments aims to boost user participation and engagement by offering minimal fees at launch, reflecting a strategic move to attract users from established payment services. The integration of a seamless payment platform could position Twitter as a formidable player in the digital financial ecosystem.

Twitter Revenue Drops 40% Amid New Financial Initiatives

Twitter’s new initiatives come in the wake of a significant revenue drop—40% year-over-year for the first half of 2023—since Musk acquired the company. This financial backdrop underscores the urgency of Twitter’s diversification into payment services to recover from Elon Musk’s cryptocurrency lost revenue. However, the industry presents significant challenges. Customers tend to be loyal to their existing banking and payment services, posing a considerable hurdle for any new entrant. Twitter must offer compelling advantages to shift user preferences away from established players.