By Assoc Prof Ts Dr Norshahrizan Nordin and Ahmad Nizam Che Kasim

The Danish government recently proposed a landmark law that grants individuals legal ownership over their face, voice, and body.

Once enacted, this law will allow Danish citizens to request the removal of AI-generated deepfake content shared without their consent and to seek compensation for any harm caused.

Malaysia, along with the wider ASEAN region, should take this development seriously. This is not merely a copyright issue; it is a matter of protecting personal identity, national security, and public trust in an increasingly digital world.

The threat posed by deepfake technology is real and growing.

In Malaysia, the Royal Malaysia Police recorded over 33,000 cases of commercial crime in 2023, resulting in financial losses exceeding RM1.3 billion.

A significant number of these cases were linked to online scams and impersonation fraud.

Increase in deepfake-related incidents

More worryingly, a study by Sumsub reported a one thousand per cent increase in deepfake-related incidents in Malaysia between 2022 and 2023.

Across the Asia Pacific region, the rise averaged at 1,530 per cent, reflecting a global crisis in the making.

The situation in ASEAN countries is even more troubling.

The Philippines saw a dramatic rise in deepfake-driven fraud, with a 4,500 per cent increase in cases.

Vietnam recorded the highest proportion of regional deepfake-related fraud, accounting for more than 25 per cent of such incidents.

In early 2024, scammers used deepfake video calls to impersonate senior executives, resulting in a loss of US$25.6 million at a Hong Kong subsidiary of a multinational corporation.

According to the United Nations Office on Drugs and Crime, cyber-enabled scams that utilise deepfake technology caused losses ranging between US$18 billion and US$37 billion across East and Southeast Asia in 2023.

In Indonesia, a single financial institution suffered losses of US$138.5 million due to more than 1,100 deepfake fraud attempts.

More than financial fraud

These incidents reveal that deepfake technology is being exploited not only for financial fraud but also for political misinformation, social manipulation, and identity theft.

High-profile impersonation cases, such as the fake video of Singapore’s prime minister and election-related scams in Thailand and Indonesia, show how pervasive and damaging this threat has become.

Despite the growing risks, Malaysia’s existing legal framework, including the Personal Data Protection Act 2010, lacks specific provisions to address the misuse of biometric data or the unauthorised use of someone’s digital likeness.

In contrast, Denmark’s proposed legislation clearly defines deepfakes, outlines legal recourse, and safeguards freedom of expression by protecting satire and parody. This balanced approach should serve as a model for Malaysia.

Malaysia is well placed to take the lead in this area. As one of the more digitally advanced nations in ASEAN, Malaysia has the resources and institutional strength to establish a legal precedent that can guide other countries in the region.

While Singapore has introduced laws like the Online Criminal Harms Act, a broader and more rights-based legal approach would help ASEAN move toward a unified framework for ethical AI governance.

Time to act is now

The evidence is overwhelming. Deepfakes are being used to deceive employees, bypass biometric verification in financial systems, and extort innocent victims. The time to act is now.

Malaysia must introduce comprehensive legislation that affirms each individual’s right to control their identity, both in person and online.

By taking this bold step, Malaysia can protect its citizens, rebuild trust in digital ecosystems, and position itself as a regional leader in managing the challenges of artificial intelligence.

In the face of this fast-moving threat, leadership is not just an opportunity. It is a necessity.

-- BERNAMA

Assoc Prof Ts Dr Norshahrizan Nordin and Ahmad Nizam Che Kasim are with the Faculty of Business & Communication, Universiti Malaysia Perlis.