New Technologies In Focus: China’s Fraud Crackdown
China’s Communist Party has declared its determination to combat overseas telecommunications fraud, particularly focusing on the employment of new technologies like blockchain, metaverse, virtual currency, and AI by fraudulent groups. The recent plenary meeting of the Central Political and Legal Affairs Commission highlighted the need for systematic and lawful governance to crack down on illegal activities, ensuring the protection of the people’s interests.
The Communist Party of China stated that it will severely crack down on overseas telecommunications fraud, and emphasized that fraudulent groups use new methods such as blockchain, metaverse, virtual currency, and AI. Among them, the blockchain is listed at the top of the list.…
— Wu Blockchain (@WuBlockchain) August 6, 2023
Combating Fraud
In recent years, overseas telecommunications fraud syndicates have employed deceptive tactics, luring and intimidating unsuspecting individuals into participating in fraudulent schemes, often disguised as “high-paying recruitment” opportunities. These criminal groups have created complex networks involving violent detention and human trafficking, posing a serious threat to people’s lives and property. The severity and scale of their fraud operations have prompted the authorities to take strict measures to safeguard social order and the rule of law.
The organized nature of these fraud groups, characterized by multi-industry support, industrialized distribution, and refined division of labour, demands a comprehensive approach to tackle the issue. International law enforcement cooperation is crucial to conducting joint crackdown operations with other countries, eliminating fraud dens, rescuing victims, and bringing the criminals to justice. China aims to establish a regular cooperation mechanism to combat overseas telecommunications fraud, effectively deterring lawbreakers and promoting friendly cooperation between China and relevant nations.
Crackdown on Crypto
The evolving fraud methods utilized by these criminal groups, leveraging emerging technologies like blockchain, metaverse, virtual currency, and AI, have made their activities more clandestine and challenging to detect. To combat this, various government departments, including public security, finance, telecommunications, and the Internet, must collaborate and utilize advanced technological tools to supervise and prevent fraudulent activities. A combination of offline and online strategies will be employed, targeting high-risk telephone cards and bank cards involved in fraud, purging associated Internet accounts, and enhancing online reporting channels. Authorities will also investigate and dismantle domestic criminal gangs collaborating with foreign counterparts while securing smuggling routes.
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In addition to law enforcement efforts, promoting public awareness and education is seen as a critical aspect of curbing telecommunications fraud. Empowering individuals, particularly young people entering society, with the knowledge and ability to recognize and prevent fraud is vital. Encouraging a practical and vigilant approach to serving society will help in countering the allure of get-rich-quick schemes and herd mentality among the populace.
