Polygon Co-Founder Sounds Alarm on Deepfake Scam Targeting Crypto Startups—’Web3’s Wild West Just Got Weirder’

Another day, another crypto scam—except this one’s straight out of Black Mirror. Polygon’s co-founder is warning startups about AI-generated deepfake videos impersonating him to pitch fraudulent schemes. Because nothing says ’decentralized future’ like getting grifted by a robot.

The twist? These deepfakes are hyper-targeted, bypassing lazy phishing attempts for something far more sinister. Active investors report being approached with ’exclusive opportunities’—all delivered via a eerily convincing digital doppelgänger.

While regulators still debate stablecoin rules, fraudsters are already weaponizing generative AI. Maybe next they’ll deepfake Satoshi for an ICO. (Wall Street bankers, take notes—this is how you innovate in 2025.)

How the scammers operate

Nailwal stated that the scam began with the compromise of the Telegram account belonging to Shreyansh Singh, who leads Polygon Ventures.

From there, the attackers messaged startup founders affiliated with Polygon’s investment network, pretending to reconnect for funding discussions.

Interested recipients were then invited to join Zoom meetings through phishing links disguised to look official.

These links required desktop access and led to video calls featuring AI-generated versions of Nailwal, Singh, and a woman claiming to be part of the investment team.

Nailwal pointed out that the calls did not have audio. Instead, participants were urged to install a Software Development Kit (SDK).

However, the Polygon founder said the MOVE is designed to infect the recipient’s systems.

Rising concerns about deepfakes

Nailwal’s incident is not an isolated case and shows that deepfake fraud is becoming a more dangerous industry-wide issue.

Over the years, deepfake impersonations have increasingly targeted prominent crypto executives like Ripple CEO Brad Garlinghouse, who has also faced multiple instances of his deepfakes being used in scam promotions.

This attack vector shows cybercriminals’ growing use of generative AI in the evolution of crypto-related fraud. A recent report pointed out that losses from deepfake-driven scams exceeded $200 million in Q1 2025 alone.

Due to this, Nailwal advised community members never to install unfamiliar software during unsolicited interactions.

He also emphasized the importance of operational hygiene, urging crypto users to separate their wallet-signing activities from general device use. He stated:

“These attacks keep getting more and more sophisticated, so best approach is to keep a separate laptop for signing via your wallets only from that laptop and never do anything else on that wallet.”