According to state securities official Claire McHenry, the rise of artificial intelligence (AI) and cryptocurrency ATMs has led to an increase in digital asset fraud, with seniors being the most vulnerable group. McHenry has issued a warning to the public, urging caution when dealing with these emerging technologies.

The use of AI in the financial sector has been on the rise in recent years, with many companies utilizing it to streamline processes and improve efficiency. However, this technology has also been exploited by scammers who use it to manipulate and deceive unsuspecting individuals. Cryptocurrency ATMs, which allow users to buy and sell digital assets with cash, have also become a popular target for fraudsters.

McHenry emphasized that seniors are particularly at risk due to their lack of familiarity with these new technologies. Many older adults are not as tech-savvy as younger generations, making them easy targets for scammers who use sophisticated tactics to trick them into investing in fraudulent schemes. This has resulted in a disproportionate impact on seniors, who are often left devastated and financially ruined.

To combat this growing issue, McHenry is urging individuals to educate themselves about AI and cryptocurrency ATMs before making any investments. She also advises seeking advice from a trusted financial advisor and thoroughly researching any company or platform before investing. Additionally, she encourages seniors to be cautious when approached by strangers offering investment opportunities, as these are often scams.

McHenry’s warning serves as a reminder that while AI and cryptocurrency ATMs have the potential to revolutionize the financial industry, they also come with risks. It is crucial for individuals to stay informed and vigilant to protect themselves from falling victim to digital asset fraud. By taking the necessary precautions, we can ensure that these emerging technologies are used for their intended purpose and not for malicious activities.