The Bombay Stock Exchange (BSE) has issued a serious warning to investors regarding a new wave of AI-generated deepfake scams targeting the Indian stock market community. These scams involve fraudsters using deepfake technology to impersonate trusted financial experts and celebrities, delivering seemingly legitimate stock tips and investment advice through video content that appears completely real.

In a social media post made on X (formerly Twitter), BSE cautioned users with the statement:

“Deep Fake Scams Are Here! Are You the Next Target? Imagine seeing a trusted financial expert or celebrity endorsing an investment — only to realize it's completely fake!”

What is a Deepfake?

Deepfake technology uses advanced artificial intelligence and deep learning models to create hyper-realistic fake videos or images. By collecting public data such as video footage, social media content, and voice clips, fraudsters train AI models to mimic people, including their facial expressions, voice, and mannerisms.

This technology has moved beyond just political and entertainment use. It is now being weaponized in financial fraud where scammers pose as stock market experts or RBI officials, delivering fake advice through videos that look disturbingly real.

How the Scam Works

1. Scammers collect publicly available data about a popular stock market figure or celebrity.

2. They use AI to create a fake video that shows the individual giving financial advice, typically urging people to invest in a specific scheme or stock.

3. These videos are shared across social media platforms, often by fake accounts or bots to reach as many potential victims as possible.

4. Viewers, tricked by the authentic look and voice, end up investing in fraudulent schemes or transferring money based on the advice.

RBI’s Previous Alert on Deepfakes

The Reserve Bank of India (RBI) has previously flagged a similar concern in November 2024, when fake videos of former RBI Governor Shaktikanta Das started circulating on social media. In those videos, the Governor appeared to endorse fraudulent investment schemes supposedly backed by the RBI. The central bank clarified that no such schemes exist and warned people to verify all financial content through official RBI sources.

How to Identify a Deepfake Video

Given the advanced nature of these scams, it has become increasingly difficult to detect deepfakes with the naked eye. However, BSE and cyber experts recommend the following key pointers to help identify fake content:

• Inconsistencies in facial expressions or lip-syncing: Mouth movements may not perfectly match spoken words.

• Unnatural eye movements or blinking: The AI may struggle with natural human expressions.

• Mismatch in audio tone or accents: If the voice sounds robotic or disconnected from the face, it’s likely a fake.

• Unusual lighting or skin texture: Look for odd shadows or blurred areas.

• Check the source of the video: Authentic financial tips should come from official handles of the person or organisation, not from unknown or suspicious accounts.

• Search for the same video on trusted platforms: If a celebrity or expert really released the video, it will likely be shared on mainstream media or verified social accounts.

BSE’s Advisory to Investors

BSE has urged all investors to:

• Stay vigilant while consuming financial content online.

• Cross-check any investment advice from multiple authentic sources before acting.

• Report any suspicious content to cybercrime authorities or directly to the exchange.

• Never trust a video solely based on visual appearance, even if the speaker is a known personality.

BSE’s post on X includes a public awareness video explaining how deepfake scams operate and encourages users to share the message widely to prevent more people from falling prey.

Impact on the Investor Community

The emergence of deepfake scams poses a serious threat to retail investors. Many people trust financial influencers and stock market personalities, especially when advice is delivered in video format. As scammers refine their tools, even experienced investors may find it difficult to distinguish real from fake.

With stock trading apps, crypto wallets, and instant bank transfer tools becoming widespread, a fake video can now result in immediate financial loss.

What You Should Do Now

Here’s how you can protect yourself and your money:

• Verify before you trust – Look for the blue tick verification on social media profiles.

• Use official sources only – Check BSE, NSE, SEBI, or RBI websites for authentic investment advisories.

• Avoid investing based on viral content – Even if it looks convincing, do your own due diligence.

• Report fake content – You can raise a complaint via India’s cybercrime portal: https://cybercrime.gov.in

• Educate others – Share this information with family and friends, especially the elderly who may not be tech-savvy.

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