Chinese authorities have issued a warning about scammers posing as developers of a blockchain project called DeepSeek. These fraudsters used misleading tactics to attract investors, claiming that DeepSeek was a secure and efficient investment platform. They also distributed fake DeepSeek applications that contained malware, putting users’ data at risk.
DeepSeek gained attention in January when its AI model matched OpenAI’s performance on certain benchmarks at a lower cost. This excitement attracted many investors, and scammers took advantage by launching fake crowdfunding campaigns. They promised returns of over 10,000 yuan ($1,373) per month but disappeared with the investors’ money.
In one scam, fraudsters sold a tutorial for 39.9 yuan ($5.5), claiming it would teach users to write viral content. However, only four out of 104 pages contained useful information, while the rest was publicly available. In another case, scammers set up fake “monetization training camps,” charging between 299 yuan ($41) and 399 yuan ($55) for worthless courses.
The scammers also created fake communities that looked like official DeepSeek groups. These groups promoted fake “internal test qualifications” and “advanced courses” before introducing DeepSeekCoin, a non-existent crypto they claimed was technically sound. Investors were lured in and lost all their money.
In response, DeepSeek distanced itself from any cryptocurrency linked to its name. The project clarified that it has never issued any cryptocurrency and that its only official social media presence is on Twitter. They warned that they would not contact anyone through other accounts.
Authorities have also raised alarms about fake DeepSeek apps that spread malware. These apps, disguised under various names, pose significant security risks. Once installed, they prompt users to download harmful updates that steal sensitive information. Some malware even prevents users from uninstalling the app.
As AI applications like DeepSeek grow in popularity, the risk of similar scams is expected to rise. Users are advised to be cautious with AI-related investments and verify sources before downloading apps. Increased awareness can help protect against scams and safeguard personal data in a rapidly advancing AI environment.
