#FactCheck - Misleading Video Allegedly Depicting Trampling of Indian Tri-colour in Kerala or Tamil Nadu Circulates on Social Media

Introduction

Digital Arrests are a form of scam that involves the digital restraint of individuals. These restraints can vary from restricting access to the account(s), and digital platforms, to implementing measures to prevent further digital activities or being restrained on video calling or being monitored through video calling. Typically, these scams target vulnerable individuals who are unfamiliar with digital fraud tactics, making them more susceptible to manipulation. These scams often target the victims on allegations of drug trafficking, money laundering, falsified documents, etc. These are serious crimes and these scammers scare the victim into thinking that either their identities were used to commit these crimes or they have committed these crimes. Recently there has been an uptick in the digital fraud scams in India highlighting the growing concerns.

The Legality of Digital Arrests in India

There is no legal provision for law enforcement to conduct ‘arrests’ via video calls or online monitoring. If you receive such calls, it is a clear scam. In fact, recently enacted new criminal laws do not provide for any provision for law enforcement agencies conducting a digital arrest.  The law only provides for service of the summons and the proceedings in an electronic mode. 

The Bhartiya Nagrik Suraksha Sanhita (BNSS), 2023 provides for the summons to be served electronically under section 63. The section defines the form of summons. It states that every summons served electronically shall be encrypted and bear the image of the seal of the Court or digital signature. Further, according to section 532 of the BNSS, the trial and proceedings may be held in electronic mode, by use of electronic communication or by the use of audio-video electronic means. 

Modus Operandi

Under digital arrest scams, the scammer makes a connection via video calls (WhatsApp calls, skype, etc) with the victim over their alleged involvement in crimes (financial, drug trafficking, etc) in bogus charges. The victims are intimidated that the arrest will take place soon and till the time the arresting officers do not reach the victim they are to remain on the call and be under digital surveillance and not contact anyone during the ongoing investigation. 

During this period, the scammers start collecting information from the victim to confirm their identity and create an atmosphere in which multiple senior officials are on the victim’s case and they are investigating the case thoroughly. By this time, the victim, scared out of their wits, sits through this arrest and it is then that the scammers posing as law enforcement officials make comments that they can avoid arrest by paying a certain amount of the fines to the accounts that they specify.  This monitoring/ surveillance continues till the time the victim makes the transfers to the accounts provided by the scammers. These are the common manipulation tactics used by scammers in digital arrest fraud.

Recent Cyber Arrest Cases

• Recently a 35-year-old NBCC official was duped of Rs 55 lakh in a 'digital arrest' scam. Posing as customs officials, fraudsters claimed her details were linked to intercepted illegal items and a pending arrest. They kept her on video calls, convincing her to transfer Rs 55 lakh to avoid money laundering charges. After the transfer, the scammers vanished. A police investigation traced the funds to a fake company, leading to the arrest of suspects.
• Another recent case involved a neurologist who was duped Rs 2.81 crores in a ‘digital arrest’ scam. Fraudsters claimed her phone number and Aadhaar was linked to accounts transferring funds to an Individual. Under pressure, she was convinced to undergo “verification” and made multiple transactions over two days. The scammers threatened legal consequences for money laundering if she didn’t comply. Now a police investigation is ongoing, and her immense financial loss highlights the severity of this cybercrime.
• One another case took place where the victim was duped of Rs 7.67 crores in a prolonged ‘digital arrest’ scam over three months. Fraudsters posing as TRAI officials claimed complaints against her phone number and threatened to suspend it, alleging illegal use of another number linked to her Aadhaar. Pressured and manipulated through video calls, the victim was coerced into transferring large sums, even taking an Rs 80 lakh loan. The case is under investigation as authorities pursue the cybercriminals behind the massive fraud.

Best Practices

• Do not panic when you get any calls where sudden unexpected news is shared with you. Scammers thrive on the panic that they create.
• Do not share personal details such as Aadhaar number, PAN number etc with unknown or suspect entities. Be cautious of your personal and financial information such as credit card numbers, OTPs, or any other passwords with anyone.
• If individuals contact, claiming to be government officials, always verify their identities by contacting the entity through the proper channels. 
• Report and block any fraudulent communications that are received and mark them as Spam. This would further inform other users if they see the caller ID being marked as fraud or spam.
• If you have been defrauded then report about the same to the authorities so that action can be taken and authorities can arrest the fraudsters. 
• Do not transfer any money as part of ‘fines’ or ‘dues’ to the accounts that these calls or messages link to. 
• In case of any threat, issue or discrepancy, file a complaint at cybercrime.gov.in or helpline number 1930. You can also seek assistance from the CyberPeace helpline at +91 9570000066.

References: 

• https://www.cyberpeace.org/resources/blogs/digital-arrest-fraud 
• https://www.business-standard.com/india-news/what-is-digital-house-arrest-find-out-how-to-avoid-this-new-scam-124052400799_1.html
• https://www.the420.in/ias-ips-officers-major-generals-doctors-and-professors-fall-victim-to-digital-arrest-losing-crores-stay-alert-read-5-real-cases-inside/
• https://indianexpress.com/article/cities/delhi/senior-nbcc-official-duped-in-case-of-digital-arrest-3-arrested-delhi-police-9588418/#:~:text=Of%20the%20duped%20amount%2C%20Rs,a%20Delhi%20police%20officer%20said (case study 1)
• https://timesofindia.indiatimes.com/city/lucknow/lucknow-sgpgims-professor-duped-of-rs-2-81-crore-in-digital-arrest-scam/articleshow/112521530.cms (case study 2)
• https://timesofindia.indiatimes.com/city/jaipur/bits-prof-duped-of-7-67cr-cops-want-cbi-probe-in-case/articleshow/109514200.cms (case study 3)

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Introduction

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Purchasing online currencies through one of the numerous sizable digital marketplaces designed specifically for this purpose is the simplest method. The quantity of cryptocurrency and money paid. These online marketplaces impose an exchange fee. After being obtained, digital cash is stored in a digital wallet and can be used in the metaverse or as real money to make purchases of goods and services in the real world. Blockchain ensures the security and decentralisation of each exchange. 

Its worth and application are comparable to those of gold: when a large number of investors choose this valuable asset, its value increases and vice versa. This also applies to cryptocurrencies, which explains why they have become so popular in recent years. The metaphysical realm is an online space where users can communicate with one another via virtual personas, among other features. Furthermore, money and commerce always come up when people communicate. 

Web3 is welcoming the metaverse, and in an environment where conventional currency isn't functional, its technologies are making it possible to use cryptocurrencies. Non-Fungible Tokens (NFTs) can be used to monitor intellectual rights to ownership in the metaverse, while cryptocurrencies are used to pay for content and incentivise consumers. This write-up addresses what the metaverse crypto is. It also delves into the advantages, disadvantages, and applications of crypto in this context. 

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Convergence of Metaverse and Cryptocurrency

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As the main form of digital money in the Metaverse, digital currencies can be used to do business and exchange in the digital realm. The term "metaverse" describes a simulation of reality where users can communicate in real time with other users and an environment created by computers. The acquisition and exchange of virtual products, virtual possessions, and electronic creativity within the Metaverse can all be made possible via cryptocurrency. 

Many digital currencies are based on blockchain software, which can offer an accessible and safe way to confirm payments and manage digital currencies in the Metaverse. By giving consumers vouchers or other electronic currencies in exchange for their accomplishments or contributions, cryptocurrency might encourage consumer engagement and involvement in the Metaverse.

In the Metaverse, cryptocurrency can also facilitate portable connectivity, enabling users to move commodities and their worth between various virtual settings and platforms.

The idea of fragmentation in the Metaverse, where participants have more ownership and control over their virtual worlds, is consistent with the decentralised characteristics of cryptocurrencies.

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Advantages of Metaverse Cryptocurrency

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There are countless opportunities for creativity and discovery in the metaverse. Because the blockchain is accessible to everyone, unchangeable, and password-protected, metaverse-centric cryptocurrencies offer greater safety and adaptability than cash. Crypto will be crucial to the evolution of the metaverse as it keeps growing and more individuals show interest in using it. Here are a few of the variables influencing the growth of this new virtual environment.

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Safety

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Your Bitcoin wallet is intimately linked to your personal information, progress, and metaverse possessions. Additionally, if your digital currency wallet is compromised, especially if your account credentials are weak, public, or connected to your real-world identity, cybercriminals may try to steal your money or personal data. 

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Adaptability

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Digital assets can be accessed and exchanged worldwide due to cryptocurrencies’ ability to transcend national borders. By utilising a local cryptocurrency, many metaverse platforms streamline transactions and eliminate the need for frequent currency conversions between various digital or fiat currencies. Another advantage of using autonomous contract languages is for metaverse cryptos. When consumers make transactions within the network, applications do away with the need for administrative middlemen.

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Objectivity

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By exposing interactions in a publicly accessible distributed database, the use of blockchain improves accountability. It is more difficult for dishonest people to raise the cost of digital goods and land since Bitcoin transactions are public. Metaverse cryptocurrencies are frequently employed to control project modifications. The outcomes of these legislative elections are made public using digital contracts. 

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NFT, Virtual worlds, and Digital currencies  

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Using the NFT is an additional method of using Bitcoin for metaverse transactions. These are distinct electronic documents that have significant potential value.  

A creator must convert an electronic work of art into a virtual object or virtual world if they want to display it digitally in the metaverse. Artists produce one-of-a-kind, serialised pieces that are given an NFT that may be acquired through Bitcoin payments. 

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Applications of Metaverse Cryptography

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Fiat money or independent virtual currencies like Robux are used by Web 2 metaverse initiatives to pay for goods, real estate, and services. Fiat lacked the adaptability of cryptocurrencies with automated contract capabilities, even though it may be used to pay for goods and finance the creation of projects. Users can stake these within the network virtual currencies to administer distributed metaverses, and they have all the same functions as fiat currency.

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Banking operations

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Lending digital cash to purchase metaverse land is possible. Banks that have already made inroads into the metaverse include HSBC and JPMorgan, both of which possess virtual real estate. "We are making our foray into the metaverse, allowing us to create innovative brand experiences for both new and existing customers," said Suresh Balaji, chief marketing officer for HSBC in Asia-Pacific.

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Purchasing

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An increasingly important aspect of the metaverse is online commerce. Users can interact with real-world brands, tour simulated malls, and try on virtual apparel for their characters. Adidas, for instance, debuted an NFT line in 2021 that included customizable peripherals for the Sandbox. Buyers of NFTs crossed the line separating the virtual universe and the actual world to obtain the tangible goods associated with their NFTs.

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Authority

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Metaverse initiatives are frequently governed by cryptocurrency. Decentraland, a well-known Ethereum-based metaverse featuring virtual reality components, permits users to submit and vote on suggestions provided they own specific tokens.

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Conclusion

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The combination of the virtual world and cryptocurrencies creates novel opportunities for trade, innovation, and communication. The benefits of using the blockchain system are increased objectivity, safety, and flexibility. By facilitating exclusive ownership of digital assets, NFTs enhance metaverse immersion even more. In the metaverse, cryptocurrencies are used in banking, shopping, and government, forming a user-driven, autonomous digital world. The combination of cryptocurrencies and the metaverse will revolutionise how we interact with online activities, creating a dynamic environment that presents both opportunities and difficulties.

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References

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• https://www.telefonica.com/en/communication-room/blog/metaverse-and-cryptocurrencies-what-is-their-relationship/
• https://hedera.com/learning/metaverse/metaverse-crypto
• https://www.linkedin.com/pulse/unleashing-power-connection-between-cryptocurrency-ai-amit-chandra/

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Introduction

The development of high-speed broadband internet in the 90s triggered a growth in online gaming, particularly in East Asian countries like South Korea and China. This culminated in the proliferation of competitive video game genres, which had otherwise existed mostly in the form of high-score and face-to-face competitions at arcades. The online competitive gaming market has only become bigger over the years, with a separate domain for professional competition, called esports. This industry is projected to reach US$4.3 billion by 2029,  driven by advancements in gaming technology, increased viewership, multi-million dollar tournaments, professional leagues, sponsorships, and advertising revenues. However, the industry is still in its infancy and struggles with fairness and integrity issues. It can draw lessons in regulation from the traditional sports market to address these challenges for uniform global growth.

The Growth of Esports

The appeal of online gaming lies in its design innovations, social connectivity, and accessibility. Its rising popularity has culminated in online gaming competitions becoming an industry, formally organised into leagues and tournaments with reward prizes reaching up to millions of dollars. Professional teams now have coaches, analysts and psychologists supporting their players. For scale, the 2024 ESports World Cup (EWS) held in Saudi Arabia had the largest combined prize pool of over US$60 million. Such tournaments can be viewed in arenas and streamed online, and by 2025, around 322.7 million people are forecast to be occasional viewers of esports events. 

According to Statista, esports revenue is expected to demonstrate an annual growth rate (CAGR 2024-2029) of 6.59%, resulting in a projected market volume of US$5.9 billion by 2029. Esports has even been recognised in traditional sporting events, debuting as a medal sport in the Asian Games 2022. In 2024, the International Olympic Committee (IOC) announced the Olympic Esports Games, with the inaugural event set to take place in 2025 in Saudi Arabia. Hosting esports events such as the EWS is expected to boost tourism and the host country’s local economy.

The Challenges of Esports Regulation

While the esports ecosystem provides numerous opportunities for growth and partnerships, its under-regulation presents challenges. Due to the lack of a single governing body like the IOC for the Olympics or FIFA for football to lay down centralised rules, the industry faces certain challenges, such as : 

1. Integrity issues: Esports are not immune to cheating attempts. Match-fixing, using advanced software hacks, doping (e.g., Adderall use), and the use of other illegal aids are common.  DOTA, Counter-Strike, and Overwatch tournaments are particularly susceptible to cheating scandals. 
2. Players’ Rights: The teams that contractually own professional players provide remuneration and exercise significant control over athletes, who face issues like overwork, a short-lived career, stress, the absence of collective bargaining forums, instability, etc. 
3. Fragmented National Regulations: While multiple countries have recognised esports as a sport, policies on esports governance and allied regulation vary within and across borders. For example, age restrictions and laws on gambling, taxation, labour, and advertising differ by country. This can create confusion, risks and extra costs, impacting the growth of the ecosystem. 
4. Cybersecurity Concerns: The esports industry carries substantial prize pools and has growing viewer engagement, which makes it increasingly vulnerable to Distributed Denial of Service (DDoS) attacks, malware, ransomware, data breaches, phishing, and account hijacking. Tournament organisers must prioritise investments in secure network infrastructure, perform regular security audits, encrypt sensitive data, implement network monitoring, utilise API penetration testing tools, deploy intrusion detection systems, and establish comprehensive incident response and mitigation plans.

Proposals for Esports Regulation: Lessons from Traditional Sports

To address the most urgent challenges to the esports industry as outlined above,  the following interventions, drawing on the governance and regulatory frameworks of traditional sports, can be made:

1. Need for a Centralised Esports Governing Body: Unlike traditional sports, the esports landscape lacks a Global Sports Organisation (GSO) to oversee its governance. Instead, it is handled de facto by game publishers with industry interests different from those of traditional GSOs. Publishers’ primary source of revenue is not esports, which means they can adopt policies unsuitable for its growth but good for their core business. Appointing a centralised governing body with the power to balance the interests of multiple stakeholders and manage issues like unregulated gambling, athlete health, and integrity challenges is a logical next step for this industry. 
2. Gambling/Betting Regulations: While national laws on gambling/betting vary, GSOs establish uniform codes of conduct that bind participants contractually, ensuring consistent ethical standards across jurisdictions. Similar rules in esports are managed by individual publishers/ tournament organisers, leading to inconsistencies and legal grey areas. The esports ecosystem needs standardised regulation to preserve fair play codes and competitive integrity.
3. Anti-Doping Policies: There is increasing adderall abuse among young players to enhance performance with the rising monetary stakes in esports. The industry must establish a global framework similar to the  World Anti-Doping Code, which, in conjunction with eight international standards, harmonises anti-doping policies across all traditional sports and countries in the world. The esports industry should either adopt this or develop its own policy to curb stimulant abuse. 
4. Norms for Participant Health:  Professional players start around age 16 or 17 and tend to retire around 24. They may be subjected to rigorous practice hours and stringent contracts by the teams that own them. There is a need for international norm-setting by a federation overseeing the protection of underage players. Enforcement of these norms can be one of the responsibilities of a decentralised system comprising country and state-level bodies. This also ensures fair play governance.
5. Respect and Diversity:  While esports is technologically accessible, it still has room for better representation of diverse gender identities, age groups, abilities, races, ethnicities, religions, and sexual orientations. Embracing greater diversity and inclusivity would benefit the industry's growth and enhance its potential to foster social connectivity through healthy competition.

Conclusion

The development of the world’s first esports island in Abu Dhabi gives impetus to the rapidly growing esports industry with millions of fans across the globe. To sustain this momentum, stakeholders must collaborate to build a strong governance framework that protects players, supports fans, and strengthens the ecosystem. By learning from traditional sports, esports can establish centralised governance, enforce standardised anti-doping measures, safeguard athlete rights, and promote inclusivity, especially for young and diverse communities. Embracing regulation and inclusivity will not only enhance esports' credibility but also position it as a powerful platform for unity, creativity, and social connection in the digital age.

Resources

• https://www.statista.com/outlook/amo/esports/worldwide
• https://www.statista.com/statistics/490480/global-esports-audience-size-viewer-type/ 
• https://asoworld.com/blog/global-esports-market-report-2024/#:~:text=A%20key%20driver%20of%20this%20growth%20is%20the%20Sponsorship%20%26%20Advertising,US%24288.9%20million%20in%202024. 
• https://lawschoolpolicyreview.com/2023/12/28/a-case-for-recognising-professional-esports-players-as-employees-of-their-game-publisher/ 
• https://levelblue.com/blogs/security-essentials/the-hidden-risks-of-esports-cybersecurity-on-the-virtual-battlefield 
• https://medium.com/@heyimJoost/esports-governance-and-its-failures-9ac7b3ec37ea 
• https://www.google.com/search?q=adderall+abuse+in+esports&oq=adderall+abuse+in+esports&gs_lcrp=EgZjaHJvbWUyBggAEEUYOTIHCAEQIRiPAjIHCAIQIRiPAtIBCDU2MDdqMGo5qAIAsAIB&sourceid=chrome&ie=UTF-8 
• https://americanaddictioncenters.org/blog/esports-adderall-abuse#:~:text=A%202020%20piece%20by%20the,it%20because%20everyone%20was%20using

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