In response to the increasing number of cryptocurrency-related crimes in Hong Kong, Bitrace has taken proactive steps to address the issue. The data analysis company recently held training sessions for members of the Hong Kong Police Force on on-chain fund tracking. This initiative is part of Bitrace’s Corporate Social Responsibility efforts, designed to enhance law enforcement’s understanding of blockchain technology in the face of Hong Kong’s growing prominence as a cryptocurrency hub.
The training sessions organized by Bitrace targeted the Cyber Security and Technology Crime Bureau (CSTCB) and Commercial Crime Bureau (CCB) specifically. During these sessions, insights and methods for investigating cryptocurrency-related crimes were shared. Bitrace’s technical experts also provided demonstrations on the usage and circulation of digital asset funds in various illegal activities, including online gambling, illicit trades, money laundering, and fraud.
Bitrace CEO, Isabel SHI, expressed her satisfaction with the collaboration, stating, “It’s a real honor to talk with the police officers from Hong Kong. Improved legislation and enhanced prevention of crypto crimes will better promote the development of Web3.” The company’s commitment to supporting law enforcement in combating cryptocurrency crime reflects its dedication to promoting a safe and secure digital environment.
Over the past three years, Hong Kong has experienced a notable increase in cryptocurrency-related crimes. Reported cases have risen from 1,397 to 3,415, with corresponding amounts increasing from HKD 824 million to HKD 4.398 billion. This represents a nearly threefold increase in reported cryptocurrency crimes during the period under review. In response to this trend, Hong Kong’s Securities and Futures Commission (SFC) has intensified its efforts to enhance information disclosure, particularly in relation to virtual asset trading platforms.
The SFC’s recent actions include the publication of information about suspicious virtual asset trading platforms, as well as updates to the list of virtual asset management fund companies. Notably, Hong Kong is on the cusp of approving spot Bitcoin ETFs in the region, further solidifying its position as a key player in the cryptocurrency industry. The addition of major mainland public fund companies to the SFC’s list underscores Hong Kong’s commitment to fostering transparency and investor protection in the virtual asset market.
Bitrace’s collaboration with the Hong Kong Police Force and the regulatory efforts of the SFC reflect a comprehensive approach to addressing cryptocurrency-related crimes in the region. By enhancing law enforcement’s capabilities and promoting transparency in the virtual asset market, Hong Kong is poised to strengthen its position as a leading cryptocurrency hub while safeguarding against illicit activities.