Against the background of fierce disputes over whether adequate measures are being taken in Hong Kong to prevent financial crimes, the local Financial Services and Treasury Department published a report evaluating the risks of money laundering and supporting terrorism. The document says that although the number of convicted persons for financial crimes has decreased over the past six years, during the same period, the number of "suspicious financial transactions" in Hong Kong has more than quadrupled.
Some believe that the reason for this growth in suspicious activity could be the legislative act of 2012, after the adoption of which, more organizations engaged in financial activities.
At the same time, crypto-currencies are not considered to be the main factors contributing to the growth of suspicious financial activity. The Hong Kong police said that although the trade in crypto-currencies may be implicated in the financial pyramids, there are "no clear signs of organized crime - money laundering and terrorism support - in the trade in crypto-currencies."
Beginning in 2013, 167 crimes related to bitcoin were reported. Only a small number of them were involved in drugs or other illegal activities. The rest are associated with viruses-extortionists - mainly with the cryptalker WannaCry.
The report says that other payment platforms, such as Paypal or Alipay, can be used by criminals with greater probability. As Forbes recently wrote, "payment systems risk becoming a tool for money laundering and terrorist financing when they are widely used."
Nevertheless, the paranoia associated with financial crimes led to the fact that Hong Kong companies began to experience difficulties in obtaining banking services. It is reported that banks deny businesses access to more comprehensive and large-scale services because of the fear of money laundering.