Chinese Prosecutors Warn of Rising Cybercrimes Facilitated by Blockchain and Metaverse

The Supreme People’s Procuratorate of China has sounded the alarm over a concerning surge in cybercrimes leveraging blockchain technology and metaverse environments. Highlighting the use of cryptocurrencies in money laundering schemes, prosecutors expressed deep concern about the growing trend of illicit activities obscuring the origins of illegal wealth.

A notable case involving Hu Moumou’s telecom network fraud operation, operating under the guise of the “SoftBank Group” App, illustrates the sophistication and scale of such criminal enterprises. Utilizing deceptive tactics like the “pig butchering” scheme, which targeted individuals through social and dating apps, perpetrators siphoned off millions from unsuspecting victims. This case, alongside others, underscores the multifaceted nature of cybercrimes, ranging from financial fraud to human smuggling.

In response, law enforcement agencies have intensified efforts to combat these crimes, resulting in significant convictions and penalties. Hu Moumou’s 20-year sentence and hefty fines set a precedent in the crackdown on elaborate cybercriminal operations. Moreover, public warnings have been issued against scams like “pig butchering,” emphasizing the importance of online vigilance and cautiousness in investment activities.

The emergence of “money laundering gangs” like the one led by Gao Moumou further highlights the intricate networks involved in facilitating criminal transactions, including the use of bank cards, POS machines, and cryptocurrencies. These cases serve as stark reminders of the evolving nature of cybercrimes and the imperative for continuous vigilance and proactive measures to combat these threats.