AFP Warns AI-Powered Investment Scams Grow More Sophisticated as Australian Losses Top AU$45 Million

The Australian Federal Police (AFP) has issued a fresh warning over the growing use of artificial intelligence in investment scams, as Australians have lost more than AU$45 million to fraudulent investment schemes so far in 2026.

According to the AFP-led Joint Policing Cybercrime Coordination Centre (JPC3), organised criminal networks are using AI to create convincing fake investment ecosystems, including trading platforms, advertisements, news articles, performance dashboards and online identities that closely resemble legitimate financial services.

Authorities said many scams begin with online advertisements or social media posts promoting cryptocurrency or investment opportunities. Victims are then contacted by individuals posing as financial advisers and directed to fake trading platforms that display fabricated profits, encouraging additional investments before accounts are frozen or access to funds is blocked.

The warning comes after Australians reported more than AU$160 million in investment scam losses during 2025. In response, the Australian Securities and Investments Commission (ASIC) removed over 12,000 fraudulent investment websites and 1,100 scam advertisements from social media last year.

The AFP highlighted recent cases involving significant losses. A Queensland man reportedly lost more than AU$166,000 after downloading a fraudulent cryptocurrency trading application that displayed fake investment gains before draining his digital wallet. In another case, a Queensland woman lost almost AU$107,000, including funds from her superannuation, after investing through a fraudulent crypto platform over several months.

The JPC3 said cryptocurrency remains the most common lure, although scammers are also promoting fake share offerings and IPO investments. Authorities noted that AI-generated content and increasingly sophisticated impersonation tactics are making investment scams more difficult to detect, prompting the launch of the ClickFit: Investment Scams campaign to raise public awareness and help curb financial losses.