Hong Kong Police Warn of Surge in Crypto Scams; Two Women Lose $1.24M in Recent Weeks

Gate News message, April 25 — Two Hong Kong women lost a combined HK$9.7 million (US$1.24 million) to crypto scammers over recent weeks, prompting local police to issue a public warning. Hong Kong police reported more than 80 fraud cases in a single week, with total losses exceeding HK$80 million (US$10.2 million).

In the larger case, a woman lost over HK$7.7 million (US$1 million) after being contacted on Telegram by someone posing as an investment expert. The scammer promised guaranteed high returns through "quantitative trading" and "AI algorithms" applied to crypto markets, directing the victim to a fraudulent website. She made 17 separate transfers of Tether's USDT and Ethereum before realizing the scheme was fraudulent when withdrawal attempts were repeatedly blocked. Police noted that scammers increasingly exploit crypto's reputation for high returns by deploying buzzwords like "AI-driven trading" and "guaranteed quantitative profits," phrases with no basis in legitimate trading.

The second case involved a romance scam spanning a longer period. A scammer approached a woman over 50 on Instagram, building a romantic relationship before presenting a fake crypto investment scheme. She was initially asked to pay HK$40,000 (US$5,000) as a handling fee, then visited a physical shop seven times to exchange cash for USDT, ultimately losing over HK$2 million (US$256,000). The scammer disappeared once transfers were complete. Police emphasized that romance scams rely on months of relationship-building before financial requests, creating emotional investment that makes victims more likely to comply.

Hong Kong Police urged the public to be wary of unsolicited contact from self-described investment experts and to exercise caution with overly affectionate online relationships, particularly when they involve requests for money.