For security reasons, large companies must comply with Know Your Customer (KYC) regulations. This law requires companies to verify the identity of customers and business partners in order to prevent money laundering and terrorism. This makes online trading safer, but criminals also see opportunities in it.
For €15, a fake identity that you can use to deceive crypto exchanges
Different Crypto exchanges were deceived by forged documents. Thanks to a new service, OnlyFake, both passports and driving licenses are generated from more than 25 countries. Photos of several successful attempts to pass the ID check of crypto exchanges are circulating on Telegram.
OnlyFake is unaware of any harm, the site insists on creating documents for films, television shows and web illustrations. The website is also striking Metadata spoofing provides an option to customize the GPS location, date, time and device of the photos taken.
The documents produced are not professionally “photographed”, but rather amateurishly displayed with a blanket or carpet in the background. Photos of ID cards appear rather amateurish, which helps, for example, to pass the security checks of crypto exchanges.
The crypto exchange OKX has passed security
OKX’s KYC is on February 5th. recently also in the news, passed from one of OnlyFake’s documents. 404 Media wrote about it a report. When confronted, OKX’s spokesperson responded that OKX denies condoning, accepting or ignoring fraudulent behavior.
“We are committed to aggressively combating fraudulent behavior on our platform and strive for the highest standards. The misuse of AI to conduct fraudulent activities is an evolving and industry-wide threat that OKX is fully addressing.”
Using AI to break through controls is not new. A more recent application of this technology is the use of deepfakes for identity verification, for example for crypto exchanges.
Back in May 2023, Jimmy Su (Binance’s chief security officer) warned that more and more fraudsters were using AI to bypass human controls. He fears that it won’t be long before even professionals can no longer tell the difference.
By the way, OKX is not the only company that would have been passed over with OnlyFake’s documents. According to “John Wick”, owner of OnlyFake, Binance, Kraken, Bybit, Bitget, Revolut, Huobi and PayPal could also be deceived. Messages on Telegram confirm that it is possible. The companies themselves have not yet responded to the allegations.
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