Crypto exchange Binance says it is deploying more than 100 artificial intelligence models to detect and block increasingly sophisticated crypto scams, as fraudsters use AI to automate phishing, impersonation, and smart contract exploits.
In a report published Monday, the exchange said its security systems prevented $10.53 billion in potential user losses between the first quarter of 2025 and the first quarter of 2026. According to Binance, those efforts helped protect more than 5.4 million users.
AI models drive fraud detection
Binance said it has rolled out more than 24 AI-driven security initiatives, covering identity verification, payment screening, scam detection, and transaction monitoring. The company said AI-powered systems now handle 57% of its fraud controls. These tools analyze patterns in peer-to-peer transactions, identify fake payment proofs using computer vision, and flag suspicious account behavior in real time.
Binance added that its know-your-customer systems are designed to detect deepfakes and synthetic identities, improving efficiency compared with manual review processes.
22.9M scam attempts blocked in Q1
During the first quarter of 2026, Binance said it intercepted 22.9 million scam and phishing attempts and prevented about $1.98 billion in potential losses.
The exchange also reported:
- More than 36,000 malicious wallet addresses blacklisted.
- Over 9,600 risk warnings issued to users each day.
- Account takeover education reaching more than 179,000 users.
These figures reflect both automated detection and user awareness efforts, Binance said.
Binance Ai Pro adds permission controls
Binance also highlighted its “Binance Ai Pro” environment, which is designed to limit risks when users deploy AI agents.
Under this framework, AI-managed funds are segregated from main accounts and restricted to trading functions. Withdrawals are disabled, and third-party tools must pass security screening before being installed. The exchange said roughly 12% of third-party “skills” submitted to the platform were flagged as potentially risky.
Beyond prevention, Binance said it assisted users in recovering $12.8 million across 48,000 cases in 2025. The company also reported helping law enforcement agencies confiscate $131 million in illicit funds and processing more than 71,000 formal requests during the year.
AI arms race in crypto security
Binance said the same technologies that make scams cheaper and easier to launch are also improving defensive capabilities. The company cited Binance Research findings that AI-assisted smart contract exploits can cost as little as $1.22 per contract, lowering barriers for attackers.
As AI-generated fraud becomes more convincing, exchanges are increasing their reliance on machine learning systems to detect threats and reduce losses before funds are transferred.
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