Feb 25, 2024

China’s National Prosecutor Takes Action Against Blockchain Cybercrimes

Blockchain cybercrimes trigger action from China’s national prosecutor

China’s Supreme People’s Procuratorate Targets Cybercrimes in Blockchain and Metaverse Projects

The Supreme People’s Procuratorate (SPP) of China, the country’s highest prosecutorial authority, is taking action against criminals who exploit blockchain and metaverse projects for illegal activities. The SPP is concerned about the growing number of cybercrimes, including online fraud, cyber violence, and personal information infringement.

According to the SPP, there has been a significant increase in cybercrimes committed on blockchains and within the metaverse. Criminals are increasingly using cryptocurrencies such as WAX, XCN, WLUNA, and ZIL for money laundering, making it difficult to trace their illicit wealth.

Deputy Prosecutor-General Ge Xiaoyan stated that telecom fraud charges related to cybercrimes have risen by 64% compared to the previous year. Along with the rise in blockchain-related crimes, traditional crimes like gambling, theft, pyramid schemes, and counterfeiting have also expanded into the digital world.

Xiaoyan highlighted that charges related to internet theft have increased by almost 23%, while charges related to online counterfeiting and sales of inferior goods have surged by nearly 86%. This trend is concerning for the SPP, and they are taking steps to combat these cybercrimes.

The Battle Between Web 3.0 and the Metaverse: What Lies Ahead?

The emergence of web 3.0 and the metaverse has sparked a debate over which will dominate the digital landscape. While some argue that the metaverse will replace the traditional internet, others believe that web 3.0 will continue to reign supreme.

Proponents of the metaverse argue that it offers a more immersive and interactive experience, blurring the lines between the physical and digital worlds. On the other hand, supporters of web 3.0 believe that its decentralized nature and focus on data ownership and privacy make it the better choice.

However, the reality is that both web 3.0 and the metaverse have their strengths and weaknesses. It is possible that they will coexist and complement each other in the future, with the metaverse providing a virtual layer on top of the decentralized web.

The Rise of Chinese AI Anchors in the Metaverse and Web 3.0

As the metaverse and web 3.0 continue to gain traction, China is also making its mark with the development of AI anchors. These virtual beings, powered by artificial intelligence, are becoming increasingly popular in the digital world.

Chinese companies are investing in AI anchor technology, with the aim of creating more realistic and interactive virtual beings. These anchors can be used for various purposes, including customer service, virtual events, and even news reporting.

The use of Chinese AI anchors in the metaverse and web 3.0 is a testament to China’s advancements in technology and its growing influence in the digital world. It will be interesting to see how these virtual beings evolve and shape the future of the metaverse and web 3.0.

The Rise of Cybercrime in China’s Digital Asset Economy

From January to November, Chinese procuratorates have filed charges against 280,000 individuals involved in cybercrime cases, marking a 36% increase from the previous year. This accounts for 19% of all criminal offenses, according to Xiaoyan.

Zhang Xiaojin, director of the Fourth Procuratorate of the Supreme People’s Procuratorate, has issued a warning to citizens and digital asset investors about the prevalence of investment scams in the local crypto economy.

Xiaojin specifically highlighted the use of the metaverse, blockchain, and binary options platforms in new cybercrimes, emphasizing that digital currencies have become prime targets for these illegal activities. As such, he urged for increased vigilance among individuals and businesses alike.

China’s Approach to Tackling Digital Asset Crimes

While China has taken a strict stance on digital asset-related crimes, their approach differs from that of Hong Kong. The special administrative region has implemented crypto-friendly regulations to regulate its digital asset ecosystem and safeguard investors, without hindering innovation.

With the rise of the metaverse and web 3.0, it is crucial for China to stay ahead of the curve in addressing cybercrimes and protecting its citizens and investors. As the Chinese AI anchor industry continues to grow, it is imperative for the country to remain vigilant in combating digital asset-related crimes.

The latest financial stability report from the People’s Bank of China (PBoC) delved into the topic of cryptocurrency regulation and decentralized finance. The Chinese central bank emphasized the importance of international collaboration in regulating the industry, specifically mentioning the need for joint efforts from various countries.

In 2021, the PBoC took steps to combat the use of cryptocurrency in mainland China, calling for increased coordination between departments to crack down on crypto-related activities. Despite the ban on virtually all crypto transactions and mining in the country, mainland China remains a major hub for crypto mining.

The ongoing debate between web 3.0 and the metaverse was also addressed in the report, with the PBoC highlighting the potential impact of both on the future of technology. As the popularity of cryptocurrencies such as WAX, XCN, WLUNA, and ZIL continues to rise, the discussion surrounding the metaverse and web 3.0 intensifies. Additionally, the report mentioned the development of a Chinese AI anchor, further solidifying the country’s involvement in the ever-evolving world of technology.

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