The emergence of OnlyFake poses significant concerns for the crypto ecosystem, particularly in combating fraudulent activities.
A new platform, which claims to use artificial intelligence (AI) to produce fake driver’s licenses and passports capable of passing Know Your Customer (KYC) checks on various cryptocurrency exchanges, has emerged on the internet. According to reports from 404 Media, the platform dubbed OnlyFake asserts its ability to utilize neural networks to generate authentic-looking documents from 26 countries, including major nations like the United States, Canada, the United Kingdom, and Australia, all for the low price of $15.
Extra Mile to Enhance Credibility
404 Media confirmed in its report that it visited the platform and generated a driver’s license for an individual purportedly from California. The fake AI-generated ID card contains all the details available on the original driver’s license, including name, address, expiration date, signature, and other biographical information. The identification cards produced by OnlyFake include images of individuals who appear to be random.
Additionally, the platform goes the extra mile to enhance the credibility of these AI-generated ID cards by incorporating a photo that simulates the card lying on a soft, fluffy carpet and kitchen counters to make it appear real. This move gives the impression that someone has casually placed the ID card on the floor and captured a snapshot, a common requirement for verification purposes on many websites.
404 Media said it used one of the ID cards with a British identity to verify and bypass Know-Your-Customer (KYC) checks on the crypto exchange OKX. However, the company has vehemently denied any involvement or endorsement of fraudulent conduct, emphasizing its commitment to combating illicit activities on its platform.
A Threat to KYC Standards on Crypto Exchanges
Cointelegraph cited discussions on a Telegram channel where OnlyFake’s users confirmed they had used the passports generated from the outlet to verify accounts on other crypto exchanges such as Kraken, Bybit, Bitget, Huobi, and even traditional financial service providers like PayPal.
Meanwhile, the emergence of OnlyFake poses significant concerns for the crypto ecosystem, particularly in combating fraudulent activities. With the potential to deceive exchanges and financial institutions, the service could provide a haven for bad actors, scammers, and even hackers seeking to conceal their true identities while engaging in illicit activities.