Instagram creators are facing automated extortion demands as scammers exploit platform loopholes to file fraudulent copyright claims, forcing creators to pay cryptocurrency ransoms ranging from $50 to hundreds of dollars to restore suspended accounts or avoid demonetization.
Automated Copyright Strikes and Crypto Extortion Tactics
Scammers have targeted Instagram creators by weaponizing the platform’s automated enforcement systems through bogus copyright complaints. A creator behind the account Lost in Time History, who publishes historical images to a following of more than 1.5 million users, reported facing dozens of fraudulent copyright notices in a single year despite posting public domain or properly licensed photographs. One targeted user with more than 1.5 million followers had to pay $50 (around ₹4,700) to get his account back after being hit by such a scam.
Extorters use messaging apps like Telegram to demand cryptocurrency or online payments ranging from $50 to hundreds of dollars through messaging apps like Telegram to withdraw bogus strikes. Olly ultimately agreed to pay an extorter $50 in cryptocurrency to restore his account, which had been temporarily taken down by Instagram. Law enforcement organisations tell extortion victims not to pay ransoms as it fuels the criminal ecosystem. Olly said he paid as a “last resort” because it was quicker than going through Meta, which could take weeks.
Experts note that the proliferation of AI has allowed bad actors to automate and scale these copyright scams, echoing similar tactics previously seen on platforms like YouTube.
The Cycle of Repetitive Claims and Financial Damage
But he was hit by more copyright strikes immediately after he paid. He noted that the worst part was having to pay the person who had actively put him through all of that anguish, only for it to happen straight away again.
Because Instagram’s system automatically processes copyright complaints without upfront authenticity checks, repeated strikes lead to account suspensions and demonetization. As a result of the number of times he has been hit by copyright claims, Olly’s account was demonetised, meaning he could not earn money from Instagram for high-performing posts. He added that there was no investigation into abuse, nor any system detection from Meta indicating that it could be abuse.
Other Instagram users have shared similar experiences. Abin Tom Sebastian, who is behind the Morbid Kuriosity account, stated that he had lost irrecoverable and crucial brand contracts that unfortunately moved ahead with another creator, receiving no reassurance or support from Meta stating that this would not happen again.
Platform Vulnerabilities and Support Paywalls
Other Instagram users have shared similar experiences. Abin Tom Sebastian stated that Meta was not helpful throughout the entire process, forcing users to pay for support to talk, even as the company claimed to be there for creators.
Meta charges a £9.99 monthly fee to be Verified on Instagram, which gives users 24/7 access to support via a live chat. This incident also shows Meta’s vulnerabilities as the platform’s system automatically processes copyright complaints without upfront authenticity checks, and content creators claim the official appeal process is slow unless they pay for Meta Verified ($9.99/month) to access live support.
Instagram says, external only copyright holders, or an authorised representative, can report copyright infringement, and it advises affected users to contacted rights holders directly.
Meta’s Response and Restorations
After the BBC contacted Meta with examples from Olly and other account holders, Meta acknowledged this issue and announced to restore affected content after reviewing the cases. It said it fought against deceptive behaviour to scam or defraud people and businesses.
A Meta spokesperson stated that they understood this could be frustrating for those impacted and that their systems were designed to protect people from this happening in the first place. The spokesperson added that following their review, they had restored the affected content and added additional protections to safeguard accounts against further attempts of this kind.
