Using digital technologies in the stock market: The criminal law aspect

Abstract

Under sanctions, digital services and products that are not affected by restrictions are of particular interest to unqualified investors of the Russian stock market. The possibility of illegal use of digital technologies in the stock market has not gone unnoticed by people with criminal intent. This article analyzes the already existing illegal practices in the stock market of using digital technologies and services, and also identifies criminal legal risks of their potential development in the future. The authors use general scientific methods of research as synthesis, analysis, induction, deduction, classification, as well as special methods (systematical, structural and dogmatical, as well as content analysis methods) based on a wide range of judicial practice. As a result, the authors formulate the following main areas of using digital technologies in the stock market for criminal purposes: 1) obtaining unauthorized access to users’ personal accounts; 2) organizing the activities of financial pyramids and illegal forex dealers; 3) fraudulent activity through the marketing of financial services by illegal financial market participants; 4) using artificial intelligence for the purposes of false trading. It has been established that the measures currently taken by supervisory and law enforcement agencies are not sufficient to protect unqualified investors from the criminal actions of malefactors. At the same time, the need to strengthen control over the use of digital technologies will require finding a balance between minimizing risks by government agencies and continuing to actively use new technologies on the Russian stock market.

Keywords

• stock market
• digital technologies
• criminal manifestations
• financial pyramids
• pseudo-brokers
• artificial intelligence
• roboadvising