The Hong Kong police received a total of 3,468 investment fraud cases in the first nine months of this year, involving approximately HKD 2.2 billion, with 35% related to virtual assets.

As the virtual asset market continues to thrive, cryptocurrencies have become the focal point for global investors. However, the prosperity of the market is accompanied by increased risks. Recently, a set of data released by the Hong Kong police serves as a reminder that, while pursuing high returns, it is equally important to guard against investment fraud.

According to the latest report from the Hong Kong police, there were a total of 3,468 investment fraud cases in Hong Kong in the first nine months of 2024, involving an amount as high as HKD 2.2 billion. Although this is a decrease compared to the same period last year, the number of cases in October increased by 24% compared to the previous month, indicating a rebound trend. Notably, 35% of these cases are related to virtual assets, suggesting that the cryptocurrency sector is becoming a new target for fraudsters.

A shocking case involved a female executive from a cryptocurrency company who fell victim to a scam, losing her electronic wallet account password, resulting in approximately HKD 78.47 million being stolen. This incident not only highlights the importance of personal security awareness but also emphasizes the urgency of enhancing platform security measures.

Nevertheless, there is still positive energy in the market. For instance, many projects are enhancing transparency and trust through blockchain technology, leading more traditional financial institutions to explore and adopt cryptocurrencies as a new asset class. Additionally, as the regulatory framework gradually improves, investor confidence is also slowly recovering, and the market is experiencing a transition from wild growth to regulated development.

For investors, it is crucial to remain vigilant and learn how to identify potential fraudulent activities. At the same time, choosing reputable trading platforms and implementing security measures such as multi-factor authentication can significantly reduce the risk of becoming a victim of fraud. Despite the challenges in the market, through collective efforts, we can build a safer and healthier investment environment. Just like the unfortunate female executive experienced, each failure is a step towards a stronger and smarter market. Let us work together to safeguard this emerging wealth opportunity and avoid repeating past mistakes.