Beware! Fake AI trading ads can steal your Instagram login: How to stay safe
Fake AI trading ads can trick users into sharing Instagram login codes.
Scammers may use these codes to take control of your Instagram account.
Never share OTPs or security codes, and be careful with sponsored social media links.
India is seeing a sharp rise in social media scams, and the authorities have recently warned citizens against one such AI trading and investment ads scam. The report claims that these AI ads are generated in a way that deceives users into disclosing personal information and Instagram security codes without their awareness. Additionally, once scammers have access to the user’s Instagram account, they can read the private conversations of the victim, see saved videos and misuse the account. However, you need not worry, as in this article, we’ve explained in detail how these fake AI trading ads scams work and have also shared simple steps that you can take to protect yourself.
SurveyFake AI trading ads
The government has recently warned citizens against a new scam where hackers are running fake AI trading ads to obtain verification codes and get access to your Instagram account. The authorities posted the warning from the official X handle of the Indian Cyber Crime Coordination Centre (I4C), which is a government-led initiative for raising awareness against cybercrimes.
That “verification code” could actually hack your Instagram https://t.co/mPBxITfyd5
— CyberDost I4C (@Cyberdost) October 5, 2026
How the scam works

Aside from the warning, the authorities have also shared the details about how the scam works. They clarified that you’ll be shown a sponsored AI-generated social media post about AI trading or investment. If you click it, then you are displayed an in-app form where you’re required to fill in your personal details like name, email, phone number and more.
Once you submit the form, a verification code is sent to the user’s phone. Now, the scammer asks you to enter that code into the form. Make sure that you never enter the code on the website, as the code may actually be an Instagram login verification code. If you share it, then the scammer may get access to your Instagram account.
How to be safe
It’s not hard to stay safe against such scams, as all you need to do is ensure that you’re a bit cautious while being online. Make sure that you don’t share OTPs or login verification codes in forms, especially those that open from social media ads.
Other than that, no matter the situation, never share your Instagram security code with anyone. Also be mindful while opening links, especially the sponsored posts you see on your social media.
In case you feel that your account has been compromised, you should immediately change your password. Following that, review your account, especially the activities on your account. If you find anything suspicious, then report it to the platform. Moreover, if you’ve lost money to cyber fraud, then you should reach out to your bank as soon as possible, as your quick action can save your money.
Bhaskar is a Senior Copy Editor at Digit India who keeps a close watch on everything shaping the world of technology from smartphones and home appliances to AI, government tech initiatives, digital safety, and the latest industry developments. Whether it's breaking news, in-depth features, hands-on reviews, practical how-to guides, or exclusive scoops, he translates complex tech into stories that are easy to understand and worth reading. His work has been featured in iGeeksBlog, GuidingTech, and other leading publications. Before joining Digit India, he served as an assistant editor at TechBloat. A B.Tech graduate and full-time tech journalist, he is driven by just one goal, which is to help readers stay informed, stay secure, and stay ahead in an ever-changing digital world. View Full Profile
