AI’s Dark Side: Deepfake Fraud Boom Could Fuel A Rally In Cybersecurity ETFs – Global X Cybersecurity ETF (NASDAQ:BUG), First Trust NASDAQ Cybersecurity ETF (NASDAQ:CIBR)
Publish Date: 2026-02-23 15:19:00
Source Domain: www.benzinga.com
Using an unordered list, summarize the following article with between 4 and 8 key points. The darker applications of artificial intelligence may be shaping the next defensive ETF trade.Research shows AI-powered scams are rapidly scaling worldwide. According to a report from the Global Anti-Scam Alliance (GASA) in partnership with fraud prevention service Cifas and Tietoevry Banking, UK consumers lost an estimated £9.4 billion between November 2024 and November 2025. Deepfake technology is enabling fraudsters to clone executive voices, fabricate endorsements and mass-produce personalised investment pitches in minutes — forcing a structural rethink of digital trust.Cybersecurity ETFs Back In FocusFor investors, the surge in AI-driven impersonation attacks could reinforce demand for identity verification, behavioral analytics and zero-trust security infrastructure — areas heavily represented in cybersecurity funds.Monica Eaton, Founder and CEO of Chargebacks911, said the shift is already underway.”Deepfake scams are no longer fringe experiments but are becoming an industrialized fraud channel. When criminals can clone a CEO’s voice, fabricate a doctor’s endorsement, or generate thousands of personalized investment pitches in minutes, traditional fraud controls cannot keep pace,” she said.The Automation of Trust AbuseEaton described the trend as the “automation of trust abuse,” warning that AI has lowered the cost of deception to near zero while financial and reputational damage continues to rise.”What we are seeing is the automation of trust abuse. AI is lowering the cost of deception to near zero, while the financial and reputational damage to consumers, merchants, and financial institutions continues to rise into the billions,” she said.The payments ecosystem may be particularly exposed. Platforms that specialize in seamless checkout now face pressure to rebalance toward verification and resilience.The industry has spent years optimizing for convenience and conversion, Eaton explained.“Now it must urgently rebalance for verification and resilience,” she adds. “Static authentication, one-time warnings, and reactive chargeback processes will not stop AI-driven impersonation at scale.”She added that businesses need layered identity checks and real-time behavioral analytics working together, arguing that the fight against deepfake fraud requires redesigning the “entire trust framework” of digital commerce.As AI fuels both innovation and exploitation, markets may increasingly view cybersecurity not as a cyclical theme — but as core infrastructure.Image: Shutterstock
