State of the Scamiverse – How AI is Revolutionizing Online Fraud

For less than the cost of a latte and in under 10 minutes, scammers today can create shockingly convincing deepfake videos of anyone: your mom, your boss, or even your child.

Imagine receiving a video call from your mom asking to borrow money for an emergency, or getting a voicemail from your boss requesting urgent access to company accounts. These scenarios might seem straightforward, but in 2025, they represent a growing threat: deepfake scams that can be created for just $5 in under 10 minutes. According to McAfee’s latest “State of the Scamiverse” report, deepfake scams have become an everyday reality. The average American now encounters 2.6 deepfake videos daily, with younger adults (18-24) seeing even more – about 3.5 per day. These aren’t just celebrity face-swaps or entertaining memes; they’re sophisticated scams designed to separate people from their money.

Welcome to the Scamiverse: an ever-expanding realm of online scams and fraud that’s targeting people everywhere. Despite increasing awareness, scams are on the rise globally, costing victims money, time, and emotional well-being. Understanding this evolving landscape is key to staying protected.

A World Plagued by Scams

According to McAfee’s December 2024 survey of 5,000 adults:

• The average person encounters 10 scams daily, while Americans face 14.4 scams daily, including 2.6 deepfake videos.
• A third of scam victims lose $500 or more, with one in ten losing over $5,000.
• Globally, people spend an average of 83 hours annually reviewing suspicious messages; for Americans, it’s 94 hours.

Beyond financial losses, there’s a significant emotional toll. More than a third of victims reported moderate to significant distress after falling for an online scam, with many spending over a month trying to resolve the resulting issues. Deepfake scams surged tenfold in 2024, with North America experiencing a jaw-dropping 1,740% increase. Over 500,000 deepfakes circulated on social media in 2023 alone. Unsurprisingly, two-thirds of people report being more worried about scams than ever before. 

Deepfakes Have Gone Mainstream

Deepfakes are no longer futuristic tech—they’re an everyday reality. McAfee’s survey showed:

• 59% of people globally know someone who has fallen victim to an online scam, rising to 77% for those aged 18-24.
• Scammers rely on speed; 64% of scams result in financial loss or personal data theft within an hour.
• Emotional distress compounds monetary losses, with 35% of victims experiencing significant stress.

Where You’ll Find Deepfakes

Deepfake videos are most commonly encountered on:

Interestingly, different age groups tend to encounter deepfakes on different platforms. While older Americans are more likely to see them on Facebook (over 80% of those 65+ report this), younger users more frequently encounter them on Instagram and TikTok. Younger Americans encounter more deepfakes (3.5 daily for ages 18-24) than older groups (1.2 for ages 65+), while seniors report higher exposure to deepfakes on Facebook.

Anatomy of a Deepfake

Deepfakes leverage generative AI to create convincing fake videos and audio. Initially popularized through memes featuring celebrities like Tom Cruise and Mark Zuckerberg, deepfakes are now weaponized by scammers. These tools can:

• Impersonate loved ones in real-time.
• Overlay scammer voices with convincing likenesses.
• Exploit victims emotionally, such as a mother who believed her daughter had been kidnapped based on a fake call.

Deepfake Tools: Inexpensive and Powerful

McAfee Labs tested 17 deepfake creation tools, finding that scammers can:

• Create realistic deepfakes for as little as $5 and 10 minutes.
• Leverage user-friendly interfaces with drag-and-drop simplicity.
• Operate on standard gaming PCs costing under $1,000.

These tools enable scammers to achieve professional-grade results with minimal effort, making deepfake scams increasingly accessible.

Common Types of Scams

The McAfee survey highlighted a wide range of scams. Some frequently involve deepfakes, such as:

• Cryptocurrency scams using AI-generated videos of public figures.
• Family emergency scams mimicking loved ones’ voices.
• Impersonation videos portraying coworkers or bosses to request money or sensitive information.

Top Scams Reported:

How to Protect Yourself

With deepfake technology becoming more accessible and sophisticated, here are McAfee’s top tips to protect yourself:

1. Watch for glitches: Look for unnatural blinking, odd backgrounds, or distorted voices.
2. Think before you click: Avoid links in unsolicited messages. Go directly to the source.
3. Validate sources: Verify shocking claims through trusted outlets.
4. Engage cautiously: Limit interactions with unverified social media content.
5. Invest in protection: Use cybersecurity tools like McAfee’s Deepfake Detector to guard against scams.

Fighting Back in the Scamiverse

As we move further into 2025, the threat of deepfake scams is likely to grow. While about half of Americans feel confident they can spot these scams, the technology is evolving rapidly. The best defense is staying informed, maintaining healthy skepticism, and using modern security tools designed to combat these AI-powered threats. Scams have evolved with AI, but so have defenses. Staying vigilant, leveraging advanced cybersecurity tools, and educating yourself can help you navigate the Scamiverse safely. As scammers grow smarter, so must we. Remember, if something seems off about a video call or message from a loved one or colleague, take a moment to verify through another channel. In the age of $5 deepfakes, that extra step could save you thousands of dollars and countless hours of stress.