AI Crypto

Monero

Arkham

<a href="https://bitcoinworld.co.in/beware-of-ai-crypto-trading-bot-scams-cftc-warns/" title="Beware Of AI Crypto Trading Bot Scams, CFTC Warns" rel="nofollow"></a>
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 <li style="font-weight: 400">The <a href="https://www.cftc.gov/">CFTC</a> has cautioned investors that AI trading bots promising huge crypto profits are often scams.</li> 
</ul> 
The U.S. Commodity Futures Trading Commission (CFTC) cautioned cryptocurrency investors this week not to rely on artificial intelligence (AI) trading bots that promise astronomical profits. 
“Be wary of the hype,” said Melanie Devoe, director of the CFTC’s Office of Customer Education and Outreach. “AI has become another avenue for bad actors to defraud unsuspecting investors.” 
The warning comes on the heels of alleged AI crypto scams last year, like YieldTrust.ai, that regulators accused of operating Ponzi schemes.&nbsp; 
According to a 2023 case highlighted by blockchain analysis firm Arkham Intelligence, a bot took a $200 million flash loan but only secured $3.24 in profit. 
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While major exchanges like Bitget are exploring AI applications for crypto trading, the technology’s limitations persist. 
The CFTC advisory aims to help investors recognize potential AI crypto scams exploiting arbitrage algorithms or social media hype. Retail traders should research providers thoroughly before trusting money to algorithms making big yield claims. 
The agency warns that despite surging popularity, AI cannot foresee sudden market changes. So the CFTC reiterates crypto investors should avoid AI trading bots promising the future this year. 
The post <a href="https://bitcoinworld.co.in/beware-of-ai-crypto-trading-bot-scams-cftc-warns/">Beware Of AI Crypto Trading Bot Scams, CFTC Warns</a> appeared first on <a href="https://bitcoinworld.co.in">BitcoinWorld</a>.

Beware Of AI Crypto Trading Bot Scams, CFTC Warns

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