Binance users in Hong Kong lose $450K to fraudulent posts: HK police
The Hong Kong Police Force has raised the alarm that 11 Binance customers in Hong Kong have been targeted by SMS phishing scams.
The Hong Kong police warned users of a scam posted on its Facebook page called “Cyber Defender” on October 9.
“Recent scams like Binance require users to click a link in the message to verify their identity before the expiration date, or their account will be closed.”
Beware of scammers. #SAFU Wait! pic.twitter.com/XZMDMKkBJf
— CZ Binance (@cz_binance) October 9, 2023
Once users clicked on the link and supposedly “verified” their personal details, the hackers gained full access to their Binance accounts, then stole all the assets in users' wallets, police said.
According to the post, 11 Hong Kong-based Binance customers reported losses of more than $446,000 (HK$3.5 million) over the past two weeks due to the phishing scheme.
Police have asked users who believe they have received a potentially fraudulent message to report suspicious messages to the “fraud prevention” section of the official website.
Police also revealed a link to a newly published list of certified virtual asset trading platforms by the Hong Kong Securities and Futures Commission (SFC).
Currently, only two cryptocurrency exchanges – Hashkey and OSL – are fully licensed in Hong Kong for retail investment purposes.
Related: Hong Kong police, regulator form crypto task force as JPEX saga unfolds
Founded in May, CyberDefender is a project launched by the Hong Kong Police Force's Cyber Security and Technology Crime Bureau to raise local citizens' awareness of online security threats.
Hong Kong Police Launches ‘CyberDefender' Metaverse Platform To Prevent Rising Digital Crimes https://t.co/xyqa0iWQxf
— Cointelegraph (@Cointelegraph) May 28, 2023
Meanwhile, Hong Kong crypto investors have been hit hard by fraud and fraudulent activities in recent weeks, with the recent JPEX crypto exchange scandal causing an estimated loss of $180 million, with more than 2,300 Hong Kong-based complaints filed with the local police.
JPEX was an unauthorized cryptocurrency exchange that lured Hong Kong residents with flashy advertising and high profits on its lending products. The exchange raised withdrawal fees from the platform on September 15, making funds inaccessible to its users.
Following the scandal – described as the biggest financial fraud to hit Hong Kong – the SFC announced that it will publish a list of fully licensed and “suspicious” crypto platforms, to combat potential fraud.
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