Criminal networks are weaponising artificial intelligence (AI) to help steal millions of dollars from everyday Australians through sophisticated fake investment scams.
According to the Joint Policing Cybercrime Coordination Centre (JPC3) - which has launched a national cybercrime awareness campaign called 'ClickFit: Investment Scams' - criminals are tapping AI capability to generate fully fake scam ecosystems that include investment platforms, reviews, performance data, landing pages, advertisements and media coverage.
So convincing are their efforts at legitimacy building that cases reported to the Queensland Police Service (QPS) include one victim in their twenties who lost more than $160,000 in a single day to a cryptocurrency scam. Another victim from the same state, aged in their sixties, had $100,000-plus stolen by scammers, including from their superannuation.
AFP Detective Superintendent Marie Andersson said the growth and evolution of digital capabilities had amplified investment scam reach and sophistication.
This was evident in Scamwatch figures which revealed more than $45 million had already been lost to fraudulent investment scams this year. Last year, they ranked as the top Australian scam by reported loss, with a total of more than $160 million.
"Where criminals see vulnerability and opportunity, they won't hesitate to exploit it," said Det Supt Andersson. "They don't care about the time and effort that go into building a savings account, a nest egg or a retirement fund; they just want to steal it.
"That's why it's critical for people to remember that if an investment opportunity seems too good to be true, it probably is."
According to the JPC3, evolving techniques used in investment scams include social engineering to develop a fake relationship based on common interests or giving access to a 'financial advisor' with an Australian or English accent.
In terms of victim demographics, most appear to be first-time or inexperienced investors. Many of them are retirement age, some with control of self-managed super funds.
While there's a weighting towards the 60+ age demographic, reports cover victims of all ages. And the gender split is roughly even.
"Ultimately, what unites targets and victims is one key element, which is that scammers must convince them they are on the path to becoming rich," said Det Supt Andersson.
According to the JPC3, there has been a significant increase in reports of high-value investment scams since the start of the year.
Cryptocurrency serves as the preferred lure, but investigators have reported seeing the full spectrum of Initial Public Offering (IPO) and share-elated scams. Celebrity endorsements are also still prevalent.
In terms of evolution, it's not unheard of for victims to be caught up for years. Nor is it uncommon for an initial investment to transition into a recovery scam, focused on retrieving what victims still wrongly believe to be a legitimate investment.
Here's how common scenarios can unfold....
- Many investment scams begin with an online advertisement or social media post. Once the victim clicks or signs up, they're contacted via message, phone, text, email or social media.
- Pressure is exerted right off the bat to invest fast or risk missing out. Scammers maintain the pressure through constant contact, sometimes for hours each day, to keep the target engaged. In one case investigated by Tasmanian Police, a victim provided 5000 screenshots documenting every communication with their scammer.
- At this early stage, legitimacy can be enhanced through fake digital assets, noting that in 2025 alone, the ASIC deactivated 12,000 investment scam websites and more than 1100 online investment scam advertisements on social media.
- A scammer posing as a 'financial advisor' or 'account manager' may also provide access to a fake platform or share screenshots of their 'account' to deepen trust.
- During an initial investment or free trial, the victim may see evidence of profits, which they will only learn later are fully fabricated. This will help persuade them to continue investing.
- Suddenly, without warning, their funds or cryptocurrency will be withdrawn, with their account frozen and their access blocked. The victim may be told to pay taxes or fees to unlock their profits.
- At this point they lose everything.
- Sadly, this is not necessarily the end, as long-term consequences can impact everything from a victim's retirement and superannuation, family and relationships to their health and emotional wellbeing.
Det Supt Andersson said many Australians didn't come forward after falling victim to an investment scam because they feared judgement from family, friends and the public.
"These scammers prey on the vulnerability of Australians wanting to invest in their future and they gain trust to a point where victims often feel too ashamed to come forward and make a report once they realise they've been taken advantage of," she said.
"Investing your money into anything should come with a high degree of caution. Scammers are becoming increasingly sophisticated in the ways they target vulnerable Aussies and we encourage Australians to be aware and alert."
Case study 1
A Queensland man 29, lost more than $166,000 to a sophisticated cryptocurrency scam.
The victim transferred cryptocurrency assets into the wallet and initially observed what appeared to be investment gains. The platform displayed apparent profits, creating the impression the investment was well-performing, which encouraged the victim to trust the service.
Within days, however, unauthorised transactions began. Funds were transferred without the victim's knowledge or approval and he was unable to prevent them.
When the victim tried to contact the investment service platform for help, he was directed to communicate with an AI chatbot, at which point he realised he had been the victim of an investment scam.
Case study 2
A Queensland woman lost almost $107,000 after being targeted by a sophisticated cryptocurrency investment scam that began via a Facebook advertisement in February, 2025 and played out across an entire year.
After responding to the advertisement, the victim received a phone call from a woman claiming to be a representative of an investment firm. She was persuaded to make an initial crypto investment of $250 and was subsequently helped to establish cryptocurrency trading accounts and digital wallets.
During the following months, the victim was contacted regularly via phone calls, WhatsApp messages and online meetings by multiple members of the scam network posing as credible investment advisors. They provided a constant stream of information about cryptocurrency markets, investing opportunities and global events influencing the financial space.
The victim was encouraged to make increasingly larger investments and repeatedly told lucrative opportunities were only available for a limited time. To build trust, the scammers provided what appeared to be legitimate investment information and promoted the transparency of blockchain transactions, displaying account dashboards showing reported profits.
As the victim continued to build what she thought was a relationship with the offenders, they directed her to establish additional crypto accounts and wallets and facilitated a series of transfers through various payment applications. The victim was reassured documentation and evidence of trades would be provided once investment balances increased.
The scam escalated when the victim was encouraged to roll over superannuation funds into a self-managed super fund to gain access to additional capital for investment. Believing the investments were generating profits, the victim transferred significant sums into crypto accounts controlled by the offenders.
She continued to be shown profitable accounts.
In early 2026, the victim attempted to access their funds but was told additional payments were required to cover commissions, documentation fees and administration costs. After paying a further $12,000 she continued to encounter barriers when requesting proof of trades, profitability and access to funds. The victim then requested the return of their money.
By the time the scam was uncovered, the victim had lost $107,000 through a combination of cryptocurrency transfers and associated additional payments.
The JPC3's 'ClickFit: Investment Scams' campaign, which aims to help Australians spot the warning signs, is being supported by law enforcement nationally. It encourages Australians to focus on six simple steps they can take to make a safe investment decision online:
- Stop before you send money. If you're being pressured to act fast, it's a red flag. Real investments don't disappear tonight. Hang up. Don't reply. Slow down.
- Check their financial licence. Before investing, search ASIC's register to confirm the person or business holds a valid Australian Financial Services Licence.
- Protect yourself. Always get a second opinion. Talk to your bank (via their official number), an ASIC-registered financial advisor, trusted friends or family before investing.
Risk Warning: Cryptocurrency is a unregulated virtual notoriously volatile instrument with a high level of risk. Any news, opinions, research, data, or other information contained within this website is provided for news reporting purposes as general market commentary and does not constitute investment or trading advice.
