Scammers Use Fake Elon Musk To Steal Millions In Crypto Fraud

HomeNews* Criminals are using fake celebrity identities to convince people to invest in bogus cryptocurrency schemes.

• The FBI reports billions of dollars lost to these Scams in 2024, with $6 billion sent directly to fraudsters.
• Scammers use techniques like AI-generated voices, fake images, and imitation websites to deceive victims.
• The FBI urges the public to verify investment offers, avoid sending money to strangers, and consult trusted sources.
• Victims can report incidents to ic3.gov and may receive assistance if action is taken quickly. A growing number of criminals are impersonating celebrities to lure people into fake cryptocurrency investments, according to recent findings by the FBI and the ABC7 I-Team. One victim, Richard Lyons, a Vietnam veteran in Chicago, lost $10,000 after believing he was investing with Elon Musk.

• Advertisement - The FBI states that in 2024, Americans lost several billion dollars to these types of scams. Of that total, $6 billion came from people being tricked into transferring cryptocurrency directly to scammers. The FBI notes cases often involve criminals posing as financial advisors, love interests, or well-known personalities using advanced methods like photo manipulation and Artificial Intelligence voice cloning.

Lyons described frequent interactions with a scammer using Elon Musk’s name and photo. “He kept asking me to invest, and I seen that his name was Elon Musk. So, I thought to myself, ‘Okay, it’s the richest guy in the world, supposed to know what he’s doing.'” Lyons said the fraudulent party even sent him images of a Tesla Cybertruck as a promised reward and created fake audio messages in Musk’s voice. “It’s, you know, pretty believable… I can hear… you just heard it for yourself,” Lyons told reporters.

Assistant Special Agent in Charge Lucas Rothaar of the FBI explained, “Take a pause. Do your research, investigate what people are asking you to invest in. Before you send any money, we encourage people to talk to other folks.” The scam included a fake website that mimicked a real financial institution, complete with login screens and two-factor authentication. Victims could witness their so-called investments appear to grow, only to find their money gone.

The FBI emphasizes reporting scams quickly to authorities at ic3.gov, noting that timely reporting improves the chance of recovering funds. Private blockchain companies, such as Lionsgate Network, can track stolen cryptocurrency and provide forensic reports for law enforcement, but typically only when losses exceed $250,000. According to Lionsgate Network CEO Bezalel Eithan Raviv, they can trace funds to sources within seconds but do not handle recovery directly.

Lyons said the monetary loss left him struggling financially. Local reports suggest similar scams targeting others in the Chicago area, often involving well-known public figures in the crypto world. The FBI advises people to avoid investment offers from strangers, especially through direct messages, and encourages consulting family, friends, or a professional financial advisor before investing.

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