Crypto Fraudsters Can be Fined, Jailed and Now Also 'Caned' by Authorities

Disclaimer: The information in this article was translated using artificial intelligence from a foreign source.

Have you committed crypto fraud? Now, in addition to fines and jail time, authorities can also subject you to caning—at least, that's what's being reportedly considered in Singapore.

Cryptocurrency scams have become a major concern for Singapore’s government, with fraudsters increasingly using digital assets to bypass banking oversight. Minister of State for Home Affairs Sun Xueling said authorities are exploring stricter punishments—including caning—to deter financial crimes.

During a parliamentary budget debate on Tuesday, first reported on by major Chinese-language Singaporean news outlet Lianhe Zaobao, Xueling noted that crypto scams accounted for a quarter of all fraud-related losses last year for the region. Criminals tricked victims into converting money into digital assets before transferring them, and others used malware and phishing tactics to drain victims' crypto wallets.

Member of Parliament Tan Wu Meng (Jurong GRC) argued that Singapore’s penalties for fraudsters and money mules are too lenient and proposed legal amendments to “enforce mandatory caning for serious crimes.”

The MP pointed out that loan sharks' runners handling $10,000 in illegal funds can be caned, while fraudsters stealing $100,000 or more can’t. Sun added that while fraud cases already result in jail sentences, authorities are considering adding caning to the list of punishments for certain financial crimes.

To counter the rising threat, Singapore recently passed the Protection from Scams Act, granting police the power to temporarily restrict transactions of suspected scam victims. According to the news outlet, the law is expected to take effect later this year.

Caning, it’s worth noting, is a form of corporal punishment enforced in Singapore for various offenses.