| FOR IMMEDIATE RELEASE Date: January 23, 2026 Contact: Tyler Newcombe Tyler.Newcombe@mt.gov |
| January 23, 2026 FOR IMMEDIATE RELEASE As Montanans plan for the year ahead, the Office of the Montana Commissioner of Securities and Insurance (CSI) is urging investors to be alert to the most common financial scams and frauds targeting consumers in 2026. “Scammers never rest — they adapt their tactics to current events, technology, and investor interest,” said Commissioner James Brown, Montana State Auditor and Commissioner of Securities and Insurance. “Our goal is to help Montanans recognize red flags early and protect their hard-earned savings.” According to the North American Securities Administrators Association (NASAA)’s 2025 Enforcement Report, state securities regulators conducted over 8,800 active investigations in 2024, leading to more than $259 million in monetary fines and restitution. This data reveals that while scammers are using new technologies like artificial intelligence (AI) to dress up their schemes, the goal remains the same: separating victims from their hard-earned money. “As we set goals for the new year — to save more, spend wisely, and invest — let’s also resolve to stay scam-free,” Commissioner Brown said. “A strong financial future starts with protecting yourself from fraud.” As you set your financial goals for the year ahead, CSI encourages Montana investors to be aware of the following investor threats to begin 2026 informed and protected. 1. Affinity or “Pig Butchering” Schemes. A major focus of 2025 enforcement, this long-con combines romance and finance. Scammers befriend victims online, build trust over time, and convince them to invest heavily in fake platforms before disappearing with the funds. 2. Deepfake Impersonations. Regulators warn that 22.2% of bad actors are now using AI to generate deepfake videos and cloned voices of celebrities or trusted friends to solicit money or endorse fake products. 3. Phantom AI Trading Bots. Criminals sell AI-powered “training bots” that promise guaranteed returns. These are often black-box scams where the algorithm and the profits do not exist. 4. Digital Asset & Crypto Fraud. Consistently a top threat, digital asset scams accounted for hundreds of investigations in 2024. These often involve unregistered securities and vague promises of high returns in the crypto space. 5. Fake AI Equity Pitches. Scammers are selling stock in companies that purportedly develop breakthrough AI models. These are often “pump and dump” schemes or sales of equity in companies that are entirely fictitious. 6. Social Media Lures. Regulators report that nearly 32% of investigations opened in 2024 involved scams originating on platforms like Facebook and X. If an investment opportunity appears in your newsfeed, approach with extreme caution. 7. Short-Form Video Hype. Scammers are increasingly using TikTok and Instagram Reels to post slick, professional-looking videos that tout “get rich quick” schemes to younger demographics. 8. Text & WhatsApp Traps. Unsolicited messages on Telegram and WhatsApp are a growing threat. These often start as a “wrong number” text that pivots into a conversation about an exclusive investment opportunity. 9. Targeting Older Investors. In 2024, regulators investigated over 1,600 cases involving senior victims. Older investors are specifically targeted with traditional scams involving promissory notes and equities, as well as newer digital frauds. 10. Account Takeovers. Using AI and phishing, fraudsters are seizing control of existing financial or social media accounts to steal funds or solicit money from the victim’s contact list under the guise of an emergency. 11. Website & App Spoofing. Using AI to generate professional graphics, scammers clone websites that look identical to legitimate financial institutions to trick users into handing over login credentials and funds. 12. Unregistered Solicitors. Despite professional-looking websites and pitches, many sellers are not licensed. In 2024, regulators opened 944 investigations involving unregistered individuals. All of these schemes underscore that fraud prevention is not a one-time warning, but an ongoing effort that requires education, awareness, and community engagement. To help Montanans spot red flags before they become victims, CSI offers educational outreach presentations tailored to senior living facilities, service clubs, professional groups, and community organizations across the state. If you are interested in scheduling a fraud prevention or investor education presentation for your organization or community group, please contact Kaitlyn Wenzel at kaitlyn.wenzel@mt.gov. ### 840 Helena Avenue, Helena, Montana 59601 (main fax) 406.444.3413 I (securities fax) 406.444.5558 (insurance consumer services fax) 406.444.1980 I (legal fax) 406.444.3499 (phone) 800.332.6148 or 406.444.2040 I (email) csi@mt.gov I (web) www.csimt.gov |
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