Report: Hong Kong Residents Misplaced Extra Than $216 Million to Crypto Scams in 2022

In keeping with Hong Kong police, in 2022 there have been 2,336 reported crypto scam-related instances wherein greater than $216.6 million was misplaced. Though losses regarding crypto scams solely constituted simply over 10% of the practically 23,000 reported know-how crimes, they nonetheless accounted for greater than half of the $407.7 million that was misplaced to on-line fraudsters.

Crypto-Associated Scams Represent Simply Over 10% of Reported Know-how Crimes

Hong Kong residents reportedly incurred cryptocurrency-related rip-off losses totaling $216.6 million (HK$1.7 billion), simply over half of the $407.7 million that was misplaced to on-line scammers in 2022, a report has mentioned. The more-than-double improve in crypto scam-related losses adopted a 67% bounce within the variety of victims from 1,397 reported instances in 2021 to 2,336 by the tip of final yr.

Nonetheless, based on the information reportedly shared by Hong Kong legislation enforcement, crypto scam-related crimes constituted simply over 10% of the practically 23,000 know-how crimes that had been reported in 2022. Though the police have had some success in intercepting and blocking wire transfers to fraudsters, an insider quoted in a current South China Morning Publish report claimed that fraudsters’ growing use of crypto makes the duty of monitoring stolen funds “tougher.”

In keeping with an unnamed insider, on-line fraudsters’ supposed desire for crypto could assist to clarify why the quantity of intercepted funds has fallen to ranges final seen in 2019. To counter scammers’ rising desire for crypto-related scams, Hong Kong police are mentioned to have issued an alert in February warning residents to be cautious of a kind of rip-off that targets animal lovers.

Pet-Lover Scams

As per the South China Morning Publish report, the alert was issued after an unnamed girl misplaced greater than $760,000 price of bitcoins to a scammer who posed as a pet lover promoting a kitten. The scammer reportedly satisfied the sufferer to switch funds throughout 40 transactions earlier than disappearing. In one other case, a 63-year-old is alleged to have misplaced greater than $1.5 million to a scammer that posed as a cryptocurrency knowledgeable.

Apart from crypto scams, Hong Kong police figures reportedly present that legislation enforcement had dealt with round “1,884 on-line funding frauds involving HK$926 million [$118 million].” The figures additionally reportedly present that scams concentrating on job seekers grew from 1,063 reported instances in 2021 to 2,884 in 2022.

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