Binance Debuts Anti-Scam Campaign: Details

According to a blog post from Binance on March 3, the company is launching an initiative to avoid scams by sending targeted warnings to possible victims in collaboration with law enforcement organizations. 

The “Joint Anti-Scam Campaign” project, which was initially launched in Hong Kong, is now being expanded into other countries. In accordance with the company’s statement, it worked with the Cyber Security and Technology Crime Bureau of the Hong Police Department to create an “alert and crime prevention message” focused on Hong Kong’s citizens. 

As part of the trial project, users who attempted to withdraw funds were met with notifications that provided them with details on typical scams and advice on how to dodge them. Additionally, it warned users that Binance would never give them a straight call.

Binance to Protect Users

Binance looked into how users reacted to the messages over the span of four weeks. It was discovered that roughly 20.4% of users either chose not to make the transfer or further looked into whether it might be a scam.

The alert provided data on the quantity of frauds that took place in Hong Kong in 2001 and suggested websites like Scameter, the Anti Deception Coordination Center, Cyber Defender, and Binance Verify as useful resources. 

The company made the statement following speculation that Changpeng Zhao, CEO of Binance, may decide against participating in the proposed acquisition of troubled cryptocurrency lender Voyager Digital.

Meanwhile, the rise in unethical practices in the cryptosphere raises the alarm for stricter regulations that are needed to protect users and maintain the stability of the market.

In light of this, the New York State Department of Financial Services (NYDFS) recently announced it has upgraded technological tools for tracking the actions of online regulated organizations. The updated form will make it easier to spot insider trading, fraud, and market manipulation.