China says it has cracked down on 1,418 illegal and fraudulent websites and platforms this year, a 1.7-fold increase compared to the same period last year, including sites that tricked users into buying cryptocurrencies such as stablecoins .
The information, presented in a report by China's Cyberspace Administration based on clues provided by netizens, warns of the risks posed by fake websites impersonating state-owned enterprises and financial institutions, luring people into depositing money, investing, and purchasing financial products.
- Authorities dealt with 1,418 illegal websites/platforms, a 1.7-fold increase.
- 323 fake websites impersonating state-owned enterprises were used to scam people into depositing/investing money.
- 61 fake websites impersonating financial institutions were discovered, luring people into downloading apps and buying stablecoins.
Data on handling fake websites and growth scale.
This year, Chinese authorities have investigated and shut down 1,418 illegal/counterfeit websites and platforms, a 1.7-fold increase compared to the same period last year.
The report states that the incidents were discovered based on clues provided by netizens, after which relevant departments conducted investigations and took action. The figure of 1,418 reflects the increasing level of online fraud, including scams related to deposits, investments, and financial products.
Fraudulent scheme: impersonating state-owned enterprises and financial institutions to entice people into buying cryptocurrency.
Among the websites that were shut down, 323 were impersonating state-owned enterprises; 61 were impersonating financial institutions and luring users to buy stablecoins and other products, causing financial losses.
A group of 323 fake websites impersonated entities such as State Grid and Sinopec, posting false investment and deposit information, luring users into buying virtual goods and fake gas cards, leading to scams. Another group of 61 fake websites impersonated organizations such as China Merchants Securities and CITIC Bank, enticing users to download apps to trade stocks or buy so-called stablecoins and financial products, resulting in losses.
