A recent joint investigation by Binance and the Ahmedabad Cyber Crime Branch has uncovered a major scam network targeting victims in South and Southeast Asia, with total losses exceeding $200,000.
Rise of Digital Arrest Scams
Reports indicate that scammers have been using tactics based on false legal threats to intimidate victims. One case involved a 90-year-old man from Gujarat who lost ₹1.25 crore after receiving fake warnings about legal repercussions. Another case involved a young job seeker who was tricked into a false job offer in Nepal, where he was held captive and forced to transfer ₹49 lakh through crypto wallets.
Support from Binance in the Investigation
Cooperation with Binance allowed the police to utilize blockchain tracking technology to trace the whereabouts of stolen funds and apprehend suspects. Police tracked wallet activity and identified suspicious transactions, aiding in making arrests.
Trends in Fraud and Preventative Measures
A senior officer from the Ahmedabad Cyber Crime Branch highlighted that such cases demonstrate how advanced cyber scams are becoming and the importance of global cooperation. Scammers often employ tactics such as 'renting' bank accounts to store and transfer stolen funds, complicating financial tracking. This scheme commonly involves impersonating police or government officials to coerce victims into sending money.
The investigation is ongoing, with more arrests expected as authorities uncover further aspects of the global scam network. Every crypto transaction leaves a trace, and when used properly, blockchain can assist in fighting crime.
