South Korean police have arrested individuals in connection with the country's largest cryptocurrency scam, involving 320 billion won ($228.4 million).
Operation Details
The arrests were made by the Anti-Corruption and Economic Crime Unit of Gyeonggi Southern Provincial Police. The suspects include staff from an investment consulting firm and a YouTuber with 620,000 subscribers. The scheme involved selling 28 types of virtual tokens to approximately 15,000 people, offering high returns from December 2021 to March of the previous year.
Scheme Organizers
Among those arrested is the alleged mastermind of the crime group. The scheme targeted middle-aged and older individuals, promising 20x returns and encouraging them to sell homes and take loans to invest. The group issued six of the tokens on overseas crypto exchanges; the remaining 22 had low trading volumes and little value.
Investigation and Consequences
Twelve individuals, including the YouTuber who also led the consulting firm, are currently detained. The YouTuber initially fled South Korea, traveling through Hong Kong and Singapore to Australia. The identities of those involved remain undisclosed. The South Korean police labeled the tokens sold by the group as 'worthless.'
The South Korean police continue to investigate the large-scale cryptocurrency fraud, drawing significant public attention to the security of investments in virtual assets.
