CALGARY, AB, Nov. 3, 2026 /CNW/ -- The Alberta Securities Commission (ASC) is warning Albertans about investment scams that use false claims about AI (artificial intelligence), algorithms or trading bots to entice investors.

AI is increasingly used in the investment industry for legitimate purposes. However, fraudsters capitalize on interest in AI and use it as a marketing hook to make an investment scam appear credible. In these scams, fraudsters may exaggerate or fabricate AI's role in their trading results, sell access to a so-called AI trading platform or offer to trade for investors. They may also impersonate a real company or investment professional.

How these scams may work

• Fraudsters find investors through social media, online ads, messaging apps such as WhatsApp or Telegram, or personal relationships.
• They claim a proprietary AI system or trading bot can predict markets, trade faster than people, remove human error or produce high returns with little-to-no risk.
• Polished websites, dashboards, screenshots and testimonials are used to build trust in the investment scam. Fraudsters can create or manipulate dashboards to show fake deposits, trades, profits and growing account balances. These are only numbers on a screen and are not proof that any trading took place.
• Investors are asked to send money or crypto assets, buy access to a platform or give fraudsters authority to trade in or control an account.
• Fraudsters may allow a small withdrawal at first to build trust. Later, withdrawals are usually delayed or blocked, and investors may be asked to pay fees or 'taxes' to get their money. These payments are part of the scam, and the money is not returned.

Warning signs
Pause and independently verify the opportunity if you encounter:

• An unregistered person, firm or platform.
• Use of buzzwords, such as "AI-powered," "AI-driven" or "algorithmic trading," paired with "no risk," "high success rates" or "24/7 automated trading."
• Secret, vague or unverifiable explanations of the technology, algorithm or trading results.
• Guaranteed or unusually consistent returns or claims of little-to-no risk.
• Subscriptions or tiered packages, such as bronze, silver and gold levels.
• Pressure to invest quickly, such as limited-time or exclusive offers, countdown timers or pop-ups saying someone just invested.

Protect yourself

• Do not invest right away. Check that both the individual and firm are registered for the service being offered through the National Registration Search. Do not rely on links, certificates or registration claims supplied by the potential fraudster.
• Pause and ask: what you are investing in, who makes the trading decisions and what role AI plays, where your money is held, who can access it and what you could lose.
• Do not install "required" software or apps to your computer or other devices.
• Testimonials, online reviews, screenshots and trading dashboards do not prove that profits are real.
• Personal referrals are not proof of legitimacy—the individual providing the referral could also be a victim of fraud.
• Do not share personal information, including your banking, investment or digital currency related information, PINs and passwords.
• Do not send money without clear, complete and verifiable answers.

Before taking part in any opportunity, visit CheckFirst.ca and review the ASC Investment Caution List and CSA Investor Alerts for a list of high-risk individuals, companies or websites.

Report suspicious activity early

Anyone can be a target of investment scams regardless of age, investment knowledge or level of wealth. You do not need to be sure it is a scam before reporting it. Your report may help the ASC identify related complaints and protect other investors.

Report a concern online or call ASC Public Inquiries toll-free at 1-877-355-4488.

SOURCE Alberta Securities Commission