The ringleader received a four-and-a-half-year prison sentence, while two accomplices were sentenced to three-and-a-half years and two-and-a-half years, respectively. The court found them guilty of violating the Act on the Aggravated Punishment of Specific Economic Crimes .
Operating as an investment company, the group lured investors with promises of high monthly returns through cryptocurrency investments. They targeted individuals unfamiliar with cryptocurrency, assuring them of 30% monthly profits. The scam began in June 2019 and continued until their apprehension.
This case highlights the increasing prevalence of cryptocurrency-related fraud in South Korea. Earlier this month, prosecutors arrested a prominent crypto market maker on charges related to scam coins, reflecting a broader trend of rising fraud cases in the country's crypto market.
According to data submitted to Rep. Cha Gyu-geun of the Rebuilding Korea Party, South Korea had approximately 16.29 million cryptocurrency investors in February, representing nearly 32% of the population. This surge underscores the need for increased vigilance and regulatory measures to protect investors from fraudulent schemes.
Topics
Cryptocurrency