Canadians lost a staggering $224 million to cryptocurrency-related fraud in 2024, with more than $103 million already reported lost in the current year, according to new data from the Canadian Anti-Fraud Centre (CAFC).
Authorities warn that a significant portion of these scams involve deepfake videos created with artificial intelligence, often featuring fabricated endorsements from well-known public figures – including politicians and celebrities – to lure victims to fraudulent investment platforms.
CTV News spoke to two Ontario residents who lost a total of $58,600 after being misled by separate AI-generated videos promoting fake cryptocurrency opportunities.
“We got stung big time, and we don’t want it to happen to anyone else,” said Don Perkins, a resident of Stittsville, a community in Ottawa.
Perkins and his wife, Guylaine, said they saw a video in January of then Finance Minister Chrystia Freeland promoting a lucrative investment opportunity. The video, which had been manipulated using AI technology, falsely depicted Freeland encouraging Canadians to invest in a platform that promised substantial returns.
“We bought into it and got swindled by a pair of smooth-talking individuals,” said Perkins.
The couple began with just a few hundred dollars but eventually handed over their life savings – $42,600.
They only realized they’d been duped when they tried to withdraw their funds.
“When we tried to access the money, they refused to release it and demanded we pay $10,000 first,” Perkins explained.
Brenda Dionne of Whitby also had a similar experience when she saw an AI-generated video of what seemed to be Prime Minister Mark Carney claiming Canadians could make money investing in cryptocurrency.
Brenda Dionne told CTV News that after she provided her banking information, the fraudsters emptied her account, taking her entire life savings of $16,000.
“I could see her doing it, and I said, ‘I don’t want you taking money out of my account,’ Dionne recalled. “I watched her take my money.”
According to the Canadian Anti-Fraud Centre (CAFC), cryptocurrency investments accounted for more than 70 percent of all reported losses related to investment fraud in 2024.
Most of these scams involved manipulated videos created with AI, making it appear as though someone was endorsing investment platforms that were entirely fraudulent.
“If you type ‘cryptocurrency investments’ into a search engine, the first five to ten results are very likely to be fraudulent platforms,” warned Jeff Horncastle from the CAFC.
The center advises viewers to be skeptical when watching videos online and to do thorough research before taking action.
CAFC also urges Canadians to be cautious when encountering videos that seem too good to be true or feature public figures making uncharacteristic statements, such as endorsing various investment platforms. These deepfake videos often use sensational or provocative content to manipulate viewers.
The Perkins family both face serious health challenges and said they invested hoping to bolster their retirement savings – only to lose everything.
“I have a stomach bag and undergo dialysis three times a week. My wife can barely walk and needs a wheelchair most of the time,” Perkins shared. “This was a portion of our life savings we had set aside.”
CTV News reached out to Prime Minister Mark Carney’s office regarding the fake AI-generated videos but did not receive a response.
