AI and the Erosion of Digital Trust: How AI Is Reshaping Code and Phishing Risk

This report warns that widespread adoption of AI for coding and content generation is undermining digital trust by creating systemic vulnerabilities and enabling highly scalable, convincing phishing and fraud campaigns—illustrated by supply-chain slopsquatting, the Darcula phishing PaaS, large data exposures (e.g., Moltbook), and the Arup deepfake heist—and recommends treating AI-generated code as untrusted, hardening CI/CD with SAST/DAST, auditing dependencies, enforcing MFA for high-risk transactions, and adopting behavioural/phishing detection.