AI-powered fraud becoming more organised, experts warn
Various industries, including online gaming, banking, healthcare and financial services, face a growing challenge from AI-driven fraud as deepfakes and synthetic identities become more sophisticated. Experts at Philippine Blockchain Week warned that the battle against disinformation is no longer solely a cybersecurity issue but a broader crisis of public trust, one that could have serious implications for regulated sectors such as online gaming, where identity verification and player protection are critical.
The panel discussion, entitled “Truth Under Siege: Deepfakes, Disinformation and the Security of Public Trust,” brought together industry leaders who argued that combating synthetic deception requires coordinated action between government, businesses and consumers.
Mack Comandante, Founder of Exoasia Innovation Hub, said that policymakers should focus on behaviour rather than content. “We want to regulate conduct, not truth, and build trust as an infrastructure.”
Shared responsibility, not a single point of failure
James Cruz, Founder of Asia ISAC, said no organisation or individual could tackle the threat independently. “I think we need to approach it from a holistic perspective, like a whole-of-society approach,” Cruz said. “Organisations and individuals need to have a better understanding of cybersecurity.”
He urged users to adopt a “trust but verify” mindset. “If you get an SMS, you get an email, and you’re not sure, just disregard it. If it’s really important and authentic, people will get back to you.”
Moises Ycot, Country Manager for the Philippines at Sumsub, echoed the view that every stakeholder has a role to play.
“The public has to play its part. Stop clicking links, stop sharing OTP,” he said. “But at the same time, the banks and financial institutions also have the responsibility to put in place the right systems to continuously monitor, continuously verify and continuously assess risk.”
He also pointed to regulators. “BSP, for example, has put in place regulations to stop financial scamming. So that’s the role that they need to play.”
Organised fraud networks raise the stakes
While deepfakes dominate public discussion, experts warned that criminal groups are increasingly combining synthetic media with identity fraud, account takeovers, and behavioural manipulation.
“Definitely deepfake and account takeover are on top of the list,” Ycot said.
However, he noted that the threat landscape is changing. “Before it was really regular people generating their own deepfakes, faking their own fake IDs. But now what we’re seeing is that the fraud attempts are more organised.”
According to Ycot, criminal groups are deploying automated AI agents and more advanced fraud techniques. “They’re creating more advanced techniques like automated AI agents. They’re trying to also fake the devices, the behaviour anomalies, et cetera.”
The warning mirrors broader concerns across the gaming industry. Cybersecurity specialists have increasingly reported the use of fake identities, cloned wallets, phishing attacks, and deepfake-enabled social engineering against operators and players throughout Asia’s online gambling sector.
Recent enforcement efforts in the Philippines have reflected those concerns. Earlier this year, the Presidential Anti-Organised Crime Commission (PAOCC) and the Cybercrime Investigation and Coordinating Center (CICC) signed a cooperation agreement targeting transnational cybercrime networks, including illegal online gambling operations and former offshore gaming networks. The agreement focuses on digital forensics, case-building and coordinated enforcement against organised criminal groups.
Regulation and self-governance must work together
Steve Ivsan, CEO of Scytalex LLC, said businesses must take responsibility for protecting customers and reducing vulnerabilities. “I need to make absolutely sure that I have my clients’ money trusted, that I have done everything humanly possible to eliminate any attack vector possible.”
At the same time, he argued that governments also have a role. “I think we need strong cooperation.”
Cruz similarly called for collective action across sectors. “If you want to increase your chance of success, you need to adopt a together strategy versus an alone strategy.”
Fighting AI with AI
Asked whether using AI to detect AI-generated fraud creates a sustainable balance, Ycot said organisations have little choice but to adapt. “Technology will continue to evolve in the coming months, in the coming years, in the coming decades,” he said.
The long-term objective, however, should not be limited to better detection tools. “The sustainable model is for us to build trust systems that will take advantage of these AI technologies as well as other systems,” he said.
“Protecting public trust was everyone’s responsibility,” Cruz concluded.
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