According to the Statistical Report on China's Internet Development, as of June 2022, the number of internet users in China reached 1.051 billion, with an internet penetration rate of 74.4%.

As the internet penetration rate continues to increase, the expanding functions of smartphones have enabled them to provide services in more and more scenarios for users, but the accompanying telecom fraud has also been increasing.

In 2020, the Ministry of Public Security solved 322,000 telecom network fraud cases, arrested 361,000 criminal suspects, and froze over 272 billion yuan in involved funds; in 2021, it solved over 441,000 telecom network fraud cases, arrested over 690,000 criminal suspects, and froze over 320 billion yuan in involved funds.

What is Telecom Network Fraud?

According to the Anti-Telecom Network Fraud Law of the People's Republic of China, adopted at the 36th meeting of the Standing Committee of the 13th National People's Congress on September 2, 2022, it will take effect on December 1, 2022.

Telecom network fraud refers to acts of defrauding public or private property by using telecom network technical means, through remote, contactless methods, with the intention of illegal possession.

What are the Methods of Telecom Network Fraud?

The relevant state departments are cracking down hard on telecom network fraud, but due to various factors, telecom network fraud activities remain severe. Fraudsters go to great lengths to tailor their scripts for different groups of people, resulting in endless types and ever-changing methods of fraud.

Telecom network fraud takes various forms, with five major types—刷单返利 (fake order refund scams), 虚假投资理财 (fake investment scams), 虚假网贷 (fake online loans), 冒充客服公务人员诈骗 (impersonating customer service/public officials)—accounting for nearly 80% of fraud cases, showing a continuous upward trend and becoming the five most prominent high-incidence types.

（一）High-Incidence Types of Telecom Network Fraud

1. Impersonating "acquaintances" or "leaders" for fraud: Leaders proactively add friends, show caring concern to gain trust, then make transfer requests with various excuses.

2. Impersonating "公检法" (police/prosecutor/court) fraud: Illegally obtain personal information, fabricate criminal charges, deeply brainwash victims to transfer money.

3. Impersonating "customer service" fraud: Pretend to be customer service offering refunds, ask victims to click links and enter information, turning refund procedures into transfers.

4. Fraud through fake investment and financial management (pig-butchering scam): Promote investment opportunities online, use "insider information" to gain trust, start with small favors, then increase investment before blocking the victim.

5. Fraud through fake online loans (fish-themed scam): Send mass messages advertising loans, then scam victims with advance payments.

（二）New Types of Telecom Network Fraud

1. "New Concepts"

With the development of society and technological progress, new technologies continue to appear in people's lives. Using hot internet concepts such as "Metaverse," "blockchain," and "digital collections," fraudsters promote so-called "virtual currencies," "virtual assets," and "digital assets," fabricating various eye-catching money-making claims and promising high returns to lure consumers into investing.

Metaverse "future," scams come uninvited. Most of the concepts hyped in such schemes are merely clickbait; in essence, they are Ponzi schemes using new money to pay old debts, and capital operations will be difficult to sustain.

2. "New Hot Topics"

Currently, many telecom network fraud methods closely follow pandemic trends. Telecom network fraud methods related to the pandemic are gradually escalating. Scammers claim to be epidemic prevention department staff, saying there are problems with nucleic acid test results, or obtain verification codes by pretending to check health codes, or steal bank card information.

Real epidemic prevention personnel will not ask questions about personal property or other matters unrelated to the pandemic, nor will they request SMS verification codes or bank card numbers. They will not send links for you to click under any pretext.

How to Fight and Prevent Fraud?

（一）Don't Disclose Personal Information, Strengthen Account Management

"All scams have the same core principle." Improve personal information security awareness and strictly manage app permissions. Be vigilant when applications request access to personal information such as contacts, photo albums, or location data. Many telecom fraud methods use obtaining personal private information as an essential step. Guarding the first checkpoint of personal information and preventing personal information leakage at the source.

（二）Don't Click Unknown Links, Don't Answer Unknown Calls

Faced with various fraud methods based on new hot topics and new concepts, stay calm and be alert to scams from multiple dimensions: don't answer unknown calls, don't click unverified links or suspicious QR codes—always operate on official websites; guard against phishing traps, don't provide bank account numbers, passwords, or verification codes to strangers; public security, procuratorate, and court authorities do not handle cases through phone calls or online channels, and there is no such thing as a "secure account."

（三）Download the National Anti-Fraud App to Prevent Telecom Network Fraud

The National Anti-Fraud App is software that can effectively prevent fraud and quickly report fraudulent content. It contains extensive anti-fraud knowledge. Through learning, you can effectively avoid becoming a victim of telecom network fraud and improve your anti-fraud awareness. Most importantly, it can provide advance warnings of fraudulent behavior.

Since April 2021, the National Anti-Fraud Center has sent 145 million warning notifications, intercepted 2.81 billion fraudulent calls and 3.36 billion fraudulent text messages, blocked 4 million fraudulent domain names and websites, urgently frozen 551.8 billion yuan in involved funds, and successfully prevented 109 million people from being defrauded.

Here, we urge everyone to consciously resist various temptations, believe that "there is no such thing as a free lunch," and abandon the mentality of seeking bargains and the belief that "I won't be the last one to lose money." Even as scams keep evolving, they are merely wearing different clothes. Meanwhile, anti-fraud technology is also advancing with the times. Individuals should resist "temptation" and guard their "money bags" when facing telecom network fraud.