Report: Hong Kong Residents Lost More Than $216 Million to Crypto Scams in 2022

According to Hong Kong police, in 2022 there have been 2,336 reported crypto scam-related circumstances through which greater than $216.6 million was misplaced. Although losses referring to crypto scams solely constituted simply over 10% of the almost 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-Related Scams Constitute Just Over 10% of Reported Technology 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 stated. The more-than-double enhance in crypto scam-related losses adopted a 67% soar within the variety of victims from 1,397 reported circumstances in 2021 to 2,336 by the top of final yr.

However, based on the information reportedly shared by Hong Kong regulation enforcement, crypto scam-related crimes constituted simply over 10% of the almost 23,000 know-how crimes that had been reported in 2022. Although the police have had some success in intercepting and blocking wire transfers to fraudsters, an insider quoted in a latest South China Morning Post report claimed that fraudsters’ rising use of crypto makes the duty of monitoring stolen funds “more difficult.”

According to an unnamed insider, on-line fraudsters’ supposed desire for crypto could assist to elucidate 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 stated to have issued an alert in February warning residents to be cautious of a sort of rip-off that targets animal lovers.

Pet-Lover Scams

As per the South China Morning Post report, the alert was issued after an unnamed lady misplaced greater than $760,000 value 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 claimed to have misplaced greater than $1.5 million to a scammer that posed as a cryptocurrency knowledgeable.

Besides crypto scams, Hong Kong police figures reportedly present that regulation enforcement had dealt with round “1,884 online investment frauds involving HK$926 million [$118 million].” The figures additionally reportedly present that scams focusing on job seekers grew from 1,063 reported circumstances in 2021 to 2,884 in 2022.

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