China Banking and Insurance Regulatory Commission: Prevent illegal fundraising in the name of "Metaverse"

According to the China Banking and Insurance Regulatory Commission on February 18, recently, some lawless elements have been taking advantage of the hot spots to absorb funds under the names of "Metaverse Investment Project" and "Metaverse Chain Game", suspected of illegal fundraising, fraud and other illegal and criminal activities. The China Banking and Insurance Regulatory Commission will remind you of the relevant methods and risks:

1. Fabricating false Metaverse investment projects . Some criminals have hyped up concepts related to the Metaverse, such as game production, artificial intelligence, and virtual reality, fabricated and packaged numerous high-tech investment projects, publicly and falsely advertised high returns, and took the opportunity to absorb public funds, which is characteristic of illegal fundraising, fraud, and other illegal activities.

2. Fraud under the banner of Metaverse blockchain games. Some criminals bundle the concept of "Metaverse" and claim that "you can make money while playing games" and "investment cycle is short and returns are high", and deceive participants into investing by exchanging virtual currency and purchasing game equipment. Such games are highly deceptive and there are risks of running away with the money.

3. Malicious speculation in Metaverse real estate to make money. Some lawless elements use the hot concept of Metaverse to exaggerate the expectation of rising virtual real estate prices, artificially create the illusion of panic buying, and lure people into hoarding and buying. We must be vigilant against such speculation risks.

4. Engaging in illegal profiteering in Metaverse virtual currency in disguise. Some criminals claim that the virtual currency they issue is the future "Metaverse currency" to induce the public to buy and invest. Such "virtual currency" is often a coin created by criminals themselves, and they make illegal profits mainly through behind-the-scenes means such as manipulating prices and setting withdrawal thresholds.

The China Banking and Insurance Regulatory Commission stated that the above-mentioned activities are under the banner of "metaverse" and are very tempting and deceptive, and participants are prone to property losses. The public is requested to enhance their risk prevention awareness and identification capabilities, be careful not to be deceived, and actively report to the local relevant departments if any clues of suspected illegal crimes are found.