OnlyFake: The Rise of Fake IDs and Passports in Crypto
An anonymous site called OnlyFake is offering fake driver’s licenses and passports from over 25 countries for just $15 each. These counterfeit documents are generated using “neural networks” and have already been used to bypass Know Your Customer (KYC) checks at various crypto exchanges. This raises concerns about identity fraud and its implications for money laundering.
TLDR
- OnlyFake provides fake IDs and passports from 26 countries using “neural networks” for $15 per document.
- Crypto exchanges like OKX, Kraken, Bybit, and others have been tricked by OnlyFake’s counterfeit documents.
- The site uses realistic images of IDs on different backgrounds to mimic verification photos, while also spoofing metadata.
- According to the owner of OnlyFake, hundreds of fake IDs can be generated at once using Excel data.
- The availability of convincing fake IDs raises concerns about identity fraud and money laundering through crypto exchanges and neobanks.
According to cybersecurity journalist Joseph Cox, OnlyFake uses neural networks to create realistic images of IDs on backgrounds such as fabrics and countertops. This allows the counterfeit documents to pass verification checks asked by many online services. The site can also spoof metadata to match details like GPS location with the forged document.
The entire process takes only minutes, providing instant access to high-quality fake IDs compared to the effort required for forging physical documents.
OnlyFake’s owner, known as “John Wick,” claims that these fake IDs have successfully passed verification checks at major crypto exchanges like OKX, Binance, Coinbase, Kraken, Bybit, and Huobi.
Cox himself used a fake British passport image from OnlyFake to pass OKX’s KYC process. This highlights a concerning vulnerability, especially considering OKX’s involvement in recent legal cases related to crypto fraud.
The widespread availability of fake identity documents raises serious concerns about their potential misuse for criminal activities. Identity fraud could be greatly facilitated, leading to streamlined money laundering, tax evasion, and regulatory circumvention, particularly through cryptocurrency channels.
Despite claiming to have an anti-forgery policy, OnlyFake’s owner shamelessly promotes the use of these IDs to pass KYC checks at various crypto platforms and online banks.
The sophistication of AI-generated identities poses a significant challenge for financial institutions and crypto businesses in terms of due diligence. With easily accessible fake credentials that are difficult to trace, KYC and compliance procedures face a challenging era.
To combat the growing threat of AI-generated fake profiles, crypto exchanges and cross-border payment services should consider implementing measures such as multi-factor authentication, behavioral authentication, liveness checks, forensic document verification, and enhanced due diligence on the source of funds.
With just $15 and a few minutes, anyone can now generate seemingly authentic credentials from almost any country. This calls for increased vigilance in the fight against identity fraud in the crypto space.
Hot Take: The Rise of AI-Generated Fake IDs Poses Serious Threats
Fake IDs and passports generated using “neural networks” are becoming increasingly prevalent in the crypto world. OnlyFake offers these counterfeit documents for just $15 each, allowing individuals to bypass KYC checks at major crypto exchanges. This alarming trend raises concerns about identity fraud and its potential implications for money laundering and regulatory evasion.
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