ASIC is expanding its crypto scam crackdown by moving takedowns from malicious websites to include social media advertisements, aiming to disrupt fraud campaigns that direct Australians to fraudulent investment platforms and reduce investor losses from crypto-related scams.
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ASIC removed ~14,000 scam and phishing sites in two years; about 3,015 were crypto-related.
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Regulator will extend takedown powers to social media ads on platforms such as Facebook and Instagram to stop ad-driven fraud.
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Victims lost $945 million to investment scams in 2024; industry experts flag “AI washing” and slick fake trading tools as emerging tactics.
ASIC crypto scam crackdown expands to social media ads to block fraudulent investment schemes — learn how to spot scams and protect your crypto assets today.
What is ASIC’s crypto scam crackdown?
ASIC’s crypto scam crackdown is an expanded enforcement program that adds social media advertisement takedowns to its existing campaign against malicious websites. The move targets ads that funnel victims to fraudulent crypto investment sites and builds on removal of roughly 14,000 scam domains over the past two years.
How will ASIC remove social media crypto scam ads?
ASIC will use enhanced takedown capability and cooperation with platforms to detect and disrupt ads that promote fraudulent trading platforms. The regulator said it averages removal of about 130 malicious sites weekly and will adapt those procedures to identify ad creatives, cloaking tactics, and AI-generated endorsements used by scammers.
Why are crypto scams a major focus for ASIC?
Investment scams are the most financially damaging fraud type in Australia, with estimated losses of $945 million in 2024. Crypto schemes account for roughly one-fifth of removed phishing sites, and law‑enforcement notices show links between large-scale investment scams and cryptocurrency exchanges.
When did ASIC start taking down crypto scam websites?
ASIC’s intensified takedown program has been active over the last two years, during which the regulator removed more than 14,000 scam and phishing websites. Roughly 3,015 of those were linked to crypto schemes, according to regulator statements.
What trends is ASIC seeing in online investment fraud?
ASIC identified five trends: AI washing, slick site templates, third‑party live chart tools, AI‑generated fake news and celebrity endorsements, and cloaking techniques that hide malicious content from automated detection. These tactics increase the urgency of expanding takedowns to ads.
Frequently Asked Questions
How much have Australians lost to investment scams recently?
Investment scams cost Australians an estimated $945 million in 2024, with a significant portion linked to crypto-related fraud and associated laundering activity.
Can social media ads be used to launder crypto proceeds?
Yes. Fraudsters often use social media ads to recruit victims and funnel proceeds through cryptocurrency platforms. Recent law enforcement actions in Australia have connected investment scams to crypto exchanges and money laundering investigations.
Key Takeaways
- Expanded enforcement: ASIC will now target social media ads as well as malicious websites to disrupt crypto investment scams.
- Rising tactics: Scammers employ “AI washing”, fake endorsements, live widgets and cloaking to appear legitimate.
- Protective actions: Verify regulation, avoid guaranteed-return claims, report suspicious ads, and follow official guidance from ASIC and financial authorities.
Conclusion
ASIC’s expansion of its crypto scam crackdown to include social media advertisements strengthens defenses against evolving online fraud. By targeting ad creatives and deceptive tactics, the regulator aims to reduce investor losses and improve detection. Consumers should stay vigilant, verify regulated status, and report suspicious activity to protect assets.
Published by COINOTAG — Updated 2025-08-22.
