The Japanese stock boom has led to chaos! Investment fraud cases surged sevenfold in Q1 this year

Since the second quarter of last year, the Japanese stock market has begun to rise sharply and hit a 34-year high. However, at the same time, investment fraud cases have surged. In the first quarter of this year, the amount involved increased sevenfold to 21.93 billion yen. In the same period last year, the amount involved was 21.93 billion yen. 2.91 billion yen.

Since the second quarter of last year, the Japanese stock market has begun to rise sharply and hit a 34-year high. However, at the same time, investment fraud cases have surged. In the first quarter of this year, the amount involved increased 7 times year-on-year to 21.93 billion yen. The amount in the same period last year was 2.91 billion yen.
Japanese stocks continue to rise, attracting more and more people to invest. According to a survey report released by the Bank of Japan (BOJ) in March, Japanese households have rapidly increased their stock investments in the past year. The annual growth rate as of December 2023 reached 29.2%. The growth rate of cash savings over the same period Only 1%.
The Japanese government\’s new tax-free retirement savings account (NISA) system also encourages citizens to shift from savings to investment.
But while the Japanese government encourages investment, gangsters also target people\’s pockets. Many Japanese people easily become victims due to a lack of financial education.
Mayuko Suzuki, a professor of consumer education at Osaka University of Education, noted that Japanese schools have traditionally taught little about building wealth or investing and instead focused on saving and spending.
According to data released by the Japan Metropolitan Police Department last Thursday (16th), there were 1,700 cases of investment fraud through social networking platforms in the first quarter of this year. In addition, money fraud was committed through sending information through social media and using intimate relationships such as love and affection. Cases have also increased.
In the first quarter of this year, there were 603 such cases, involving a total amount of 6.06 billion yen, nearly double the same period last year.
Kazuhide Saijo, president of the Investment Scam Victims Organization, said scams are currently almost risk-free and high-return for scammers.
For a long time Japan only taught people to work hard and save money but people were as ignorant as babies when it came to investing.
In recent years, investment scams have emerged almost endlessly around the world, but Japan has been relatively unscathed. Long-term deflation has meant that Japanese consumers only need to hoard cash. But now inflation is back, and the government continues to take measures to attract people to invest in Japanese stocks, which creates a favorable environment for fraud. environment.
Currently, one of the \”hardest hit areas\” for online fraud in Japan is Facebook. As more and more celebrity-themed online advertisements defraud people of their money, the typical fraud method is to continuously induce users to invest more money to obtain greater returns.
\”Bloomberg News\” reported that Endo, a Japanese civil servant in his 60s, clicked on an advertisement for a free investment seminar on Facebook last summer and was invited to join a Facebook group. She was gradually convinced and began to use fraudulent organizations to send messages. Investing a total of 20 million yen into one of her apps, she stopped investing when the balance on the app showed 100 million yen.
Japanese lawmakers have asked Facebook parent company Meta\’s agency in Japan to respond more quickly. A local representative of Meta responded that it was taking the matter seriously and said that Meta has invested more than US$20 billion in teams and technology since 2016. To ensure platform security, Meta will continue to focus on combating fraudulent advertisements.
In response to rising online fraud, Japanese Prime Minister Fumio Kishida will announce measures in June to focus on arresting fraudsters.

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