The Fourth Procuratorate of the SPP’s Zhang Xiaojin allegedly alerted the public and users of digital assets to investment frauds in the region’s cryptocurrency market.
The Chinese Supreme People’s Procuratorate (SPP), the nation’s top prosecuting body, is pursuing offenders who use blockchain and metaverse initiatives for illicit purposes in an effort to combat the rise in cybercrimes. The surge in online fraud, cyberviolence, and breaches of personal information, according to the SPP, is concerning.
According to the SPP, there has been a noticeable increase in cybercrimes in the metaverse and on blockchains. Money laundering with cryptocurrency is becoming more common among criminals, making it challenging to track down their hidden riches.
Deputy prosecutor-general of the SPP Ge Xiaoyan said that charges of telecom fraud relating to cybercrime had increased by 64% on an annual basis. Traditional crimes like gambling, theft, pyramid schemes, and counterfeiting have also spread into internet, even though crimes involving blockchain technology are on the rise. Xiaoyan highlighted that whereas charges for online counterfeiting and sales of subpar items have climbed by about 86%, charges for internet theft have increased by roughly 23%.
Between January and November, prosecutorates filed charges in cybercrime cases against 280,000 people. According to Xiaoyan, this represents a 36% annual increase and accounts for 19% of all criminal offences. The Fourth Procuratorate of the SPP’s Zhang Xiaojin also alerted the public and users of digital assets against investment frauds in the region’s cryptocurrency market.
Digital currencies have turned into hotspots for these activities, according to Xiaojin, who also noted the surge in new cybercrimes utilising the metaverse, blockchain, and binary options platforms. This underscores the need for more awareness.
Hong Kong’s and China’s attempts to combat crimes using digital assets are not the same. The Chinese special administrative area has adopted a different strategy, enacting laws that are favourable to cryptocurrencies in order to safeguard investors and standardise its ecosystem of digital assets without limiting innovation.
In its most recent financial stability report, the People’s Bank of China (PBoC) discussed challenges pertaining to decentralised finance and cryptocurrency regulation. In a separate section of the study, the Chinese central bank addressed cryptocurrency assets and emphasised the necessity of international cooperation in regulating the sector.
When it came to putting more force behind interdepartmental collaboration in the battle against cryptocurrency adoption in mainland China, the People’s Bank of China (PBoC) made its announcements in 2021. The prohibition on almost all bitcoin transactions and mining has not stopped mainland China from being a significant centre for cryptocurrency mining.