World’s largest cryptocurrency exchange, Binance has announced it will run an anti-scam campaign after a successful test run in Hong Kong.
The company noted that it partnered with Hong Kong law enforcement agencies to implement a scam prevention scheme.
According to a post from the exchange on March 3, the campaign will help reduce the number of scams innocent traders fall for. In the details, the company said it would send trigger warnings to customers to help them avoid these risks.
Binance added that the test programme has largely been successful in Hong Kong, thereby the need to implement it in other countries. The company further explained that the test run was in conjunction with the Hong Kong Crime Bureau and Hong Kong Police Cyber Security arm.
Investors King understands that crypto scam among other scam schemes has been on the rise since after COVID-19 Pandemic. Binance noted that scammers utilized every means to loot the funds of the victims via Telegram-based messages, harmful links, emails, and phone calls.
Similarly, several industry players hold the opinion that the cryptocurrency industry is prone to scams as many people can easily be tricked into voluntarily giving out sensitive information like private keys to a wallet to the wrong party.
Binance noted in the blog post that scammers employ sophisticated methods like social engineering to trick people into disclosing personal information that can lead to the loss of their assets, thereby raising awareness around these methods and how to avoid them is critical to help users.
Future Plan
Meanwhile, Binance has said it will roll out the program to more jurisdictions in the coming months and is working on establishing partnerships with local police and government agencies for the necessary resources.
In addition, the exchange said it will continue to cooperate with law enforcement agencies and provide the necessary support and training needed to help prevent crypto-based crimes and scams.