Hey Amy, I read something about AI and deepfakes causing problems for crypto companies. What's that all about?

Hi Sam! Yes, it's a big issue. Generative AI can create very realistic deepfakes, which are causing problems for Know Your Customer (KYC) processes in digital asset companies.

KYC? That's when companies check who their customers are, right?

Exactly. But now, AI can create fake IDs, videos, and even entire online personas that can fool current KYC methods.

Wow, that sounds scary. How are companies dealing with this?

Well, that's where the interesting part comes in. They're actually using AI and blockchain together to fight back against these deepfakes.

Using AI to fight AI? How does that work?

AI can analyze user behavior patterns and spot anomalies in real-time. It can detect things like unusual mouse movements or typing styles that might indicate fraud.

And what about blockchain? How does that help?

Blockchain is great for verification. It creates an immutable record of transactions, making it very hard for fraudsters to alter data without being detected.

I see. So they're using AI for detection and blockchain for verification?

Exactly! It's a powerful combination. AI can quickly spot potential fraud, while blockchain provides a secure, transparent record.

Are there companies already using these technologies together?

Yes, companies like BlockTrace and AnChain.AI are developing tools that combine AI and blockchain to fight crypto-related crime.

That's fascinating. It sounds like technology is both creating and solving problems at the same time!

You're right, Sam. It's a constant race between security measures and new threats. But combining AI and blockchain is a promising approach to staying ahead of fraudsters.