Grant Thornton has joined a number of practitioners in launching a global network to share best practice and tackle crypto fraud.
The Crypto Fraud and Asset Recovery (CFAAR) network will host regular meetings, seminars, and conferences to develop skills and act as a voice for the crypto-fraud sector on judicial and regulatory reviews.
Based in London, the CFAAR’s eight founding members include law firms Osborne Clarke, Rahman Ravelli, Stewarts, RPC, asset recovery group Asset Reality, and barristers Twenty Essex and Essex Court Chambers.
Its launch follows a rise in global crypto-related fraud, with losses tripling year-on-year in 2019 to $4.3bn (£3.1bn) worth of digital money, according to blockchain data platform Chinalysis.
Lawrence Collins, former Justice of the UK Supreme Court, said: “Where there is innovation, criminals are not far behind. The latest example is crypto fraud. Criminal enforcement is not a sufficient remedy for victims.
“The professions have to arm themselves to help clients who have been the victims of fraudsters who offer unbelievable returns in fake offerings, or who create false cryptoassets and false exchanges, and then hide the proceeds of crime through complex webs.”
He added: “London has long been a pre-eminent financial and professional centre, but unfortunately it may also be turning into a centre for international financial crime.
“CFAAR is uniquely placed to build networks to develop remedies to prevent exploitation and to assist victims.”