The Hong Kong police force has issued a warning regarding a series of phishing scams targeting 11 Binance customers based in Hong Kong. These scams have been distributed through text messages, and the police have alerted the public through their Facebook page known as “CyberDefender.”
In the phishing scheme, fraudsters impersonating Binance sent text messages to users, falsely claiming that they needed to click on a provided link within the message to verify their identity details within a specified deadline. The scammers threatened that failing to do so would result in the deactivation of their accounts. Unfortunately, when users clicked on the link and completed the so-called “verification” process, hackers gained unauthorized access to their Binance accounts. Subsequently, the hackers emptied the wallets of these users, resulting in significant financial losses.
As per the police’s announcement, the 11 Hong Kong-based Binance customers affected by this scam collectively reported losses exceeding $446,000 (equivalent to 3.5 million Hong Kong dollars) over the past two weeks.
The Hong Kong police have urged individuals who suspect they have received fraudulent messages to report them on the “fraud prevention” section of their official website. Additionally, they provided a link to a recently published list of verified virtual asset trading platforms, endorsed by the Hong Kong Securities and Futures Commission (SFC).
Currently, only two cryptocurrency exchanges, namely HashKey and OSL, are fully licensed for retail investment purposes in Hong Kong.
CyberDefender, established in May, is an initiative launched by the Cyber Security and Technology Crime Bureau of the Hong Kong Police Force. It aims to enhance public awareness regarding online security risks.
Furthermore, the cryptocurrency community in Hong Kong has recently been subjected to various scams and fraudulent activities. A notable incident involved the JPEX crypto exchange scandal, which resulted in estimated losses of around $180 million. More than 2,300 Hong Kong-based investors filed complaints with local police in connection with this scandal. JPEX, an unlicensed cryptocurrency exchange, enticed Hong Kong residents with enticing advertisements and promises of unusually high returns on its lending products. On September 15, the exchange abruptly increased withdrawal fees, rendering users’ funds inaccessible.
In response to this significant financial fraud, described as the largest in Hong Kong’s history, the SFC announced its intention to compile a list of both fully licensed and “suspicious” crypto platforms in an effort to combat potential fraudulent activities.