Financial Crimes in Cryptocurrencies on the Rise in Lebanon, Experts Warn
Lebanon’s growing cryptocurrency market has raised concerns about its vulnerability to financial crimes, with experts warning that the lack of regulations and specialization among law enforcement agencies is posing a significant challenge in investigating and prosecuting these cases.
Cryptocurrency Transactions in Lebanon
According to recent data, Lebanon ranked 14th in the MENA region in terms of cryptocurrency transactions, with $4.95 billion received through cryptocurrencies between March 2022 and March 2023. While cryptocurrencies offer several advantages, including speed of transaction, minimal costs, and decentralization, they also provide opportunities for criminals and terrorist groups to launder money and finance illegal activities.
Combating Financial Crimes
To combat this growing threat, the European project ACT (Advance Counter Terrorism for Lebanon Security) has launched an advanced training program on investigating cybercrime and cyberterrorism acts perpetrated through the use of cryptocurrencies. The program, implemented by the FIIAPP and co-organized with the High Council of Defence, brought together 35 participants from 15 different governmental institutions for a week-long training session.
Training Program Highlights
- Practical simulations of asset search and seizure operations using the latest technological tools on the market
- Training delivered by specialists from the Carabinieri
- Participants included law enforcement agencies, magistrates, and key players in the Lebanese cyber ecosystem
Importance of Cybersecurity Knowledge
During the opening ceremony, Rector of the Lebanese University, Professor Bassam Badran, emphasized the importance of promoting cybersecurity knowledge. Secretary General of the High Defence Council, General Mostafa Mohamad, stressed the need for teamwork between all Lebanese administrations, as well as the private sector and civil society, at a critical time for the country.
Challenges Posed by Lack of Regulations
Captain Simone Vecchiarello, head of the Carabinieri’s Cryptocurrency Unit, highlighted the challenges posed by the lack of specialization among law enforcement agencies and the absence of regulations on this subject. The organizers of the training program emphasized the strategic importance of bringing together law enforcement, magistrates, and key players in the Lebanese cyber ecosystem to fight terrorism and cybercrime.
Enhancing Capabilities
The organizers also stressed the need for enhancing capabilities and combating financial crimes in the country’s cryptocurrency market. This advanced training program aims to equip law enforcement agencies with the necessary skills and knowledge to effectively investigate and prosecute financial crimes perpetrated through cryptocurrencies.