CFTC Warns AI Can't Pick Your Next Crypto Winner

THE United States watch dog warned optimistic crypto investors against placement trust And funds In AI trade robots, as a lot of them will result In A 100% loss.

Investors on THE hunting For their following massive cryptocurrency earn to have has been warned against count on artificial intelligence (AI) trade the robots has deliver. Despite THE overvoltage In popularity, THE United States Raw materials And Futures contracts Trade Commission (CFTC) reiterates that AI can't predict THE future.

In A recent statement published by THE CFTC title Customer Advisory Precautions THE Public has Beware of Artificial Intelligence Scams, THE agency advises crypto investors budding For significant Back This year has avoid be attracted by exaggerated promises Since AI.

Particularly, those promising impressive yields by using robots, trade signal algorithms, crypto-asset arbitration algorithms, And other AI-assisted technology.

"THE prevalence of social media platforms And “influencers” makes he even Easier For fraudsters has propagated FAKE information. »

Melanie Devoe, director of CFTC desk of customer education And sensitization, underlines that investors should be "mistrustful of THE threshing," reiterating that AI has become another path For malicious actors has take advantage of novice investors.

In the meantime, THE agency further note that investors should research THE background of A business Or Trader Before confident their money with trade the robots Or trading signal suppliers.

Last year, Driven by AI crypto trade the robots were A major focal indicate of discussion In THE industry.

In April 2023, several WE. State watch dogs took action against A AI trade robot affirming he could generate Back of up has 2.2% A day through benefit AI.

Securities regulators Since Montana, Texas, And Alabama, alleged this crypto trade platform YieldTrust.ai was Operating A Ponzi scheme, as he doesn't to have any of them evidence that THE AI trade robot even ...