China warns about Deepseek Crypto scams targeting investors

Chinese authorities have warned about criminal groups who have scamended investors by pretending to be developers of the DeepSeek blockchain project.

The scammers claimed that their platform was built using DeepSeek technology, promoting it as a safe and efficient investment opportunity.

Deepseek Crypto scams target Chinese users

Deepseek attracted attention in January as it reportedly matched Openai’s performance on certain benchmarks at a low cost.

The hype has attracted investors eager to take advantage of the possibilities, according to the Chinese government. The scammers misused this momentum and launched a crowdfunding campaign before it disappeared with funds.

Authorities revealed that victims were misled to believe they could use DeepSeek to make more than 10,000 yuan ($1,373) a month.

The scammers claim they will sell a 39.9 yuan ($5.5) tutorial, which will teach users how to write viral content. However, only four of the 104 pages contained relevant material, while the rest was published.

In another scheme, the scammer set up a fake “monetization training camp” and charged between 299 yuan ($41) and 399 yuan ($55), which turned out to be unworthy.

The deception grew even further when the scammers created fake Deepseek communities and presented them as official groups.

They promoted “Internal Test Qualifications” and “Advanced Courses” and later introduced Deepseekcoin. This has invited investors who ultimately lost all their funds.

In January, Deepseek distanced himself from a cryptographic token that was incorrectly associated with the name.

“Deepseek does not issue cryptocurrency. Currently, there is only one official account on the Twitter platform. The project will not contact anyone via other accounts.”

Fake DeepSeek app spreading malware

Beyond financial fraud, authorities have raised concerns about the rise in fake DeepSeek applications embedded in malware.

Authorities say cybercriminals distribute malicious software under various names, including deepseek.apk, deepseek.exe, deepseek.msi, deepseek.dmg, and more, malicious software disguised as deepseek apps. These applications pose serious security risks and compromise your private data.

Once installed, these fake apps will encourage users to download updates with embedding harmful code. Malware can access system functions and steal sensitive information such as contacts and messages.

In some cases, malicious code prevents users from uninstalling the app and makes it difficult to remove it.

Officials have warned that as artificial intelligence applications like Deepseek become more popular, similar scams are likely to increase.

“We are expected to see an increase in viral trojans in a variety of artificial intelligence applications, including Deepseek spoofing,” Chinese authorities said.

Therefore, users are advised to verify the source before engaging in AI-related investment opportunities and pay attention to suspicious applications that could pose security threats.