According to TechFlow, on November 13, The Block reported that the South Korean police arrested 215 suspects involved in a large-scale cryptocurrency investment scam. The scam caused 15,304 victims to lose more than 325 billion won (about 232 million U.S. dollars). The Economic Crime Investigation Department of the South Gyeonggi Provincial Police Agency identified 12 core members, including a YouTuber with more than 620,000 subscribers.
The scam gang promoted 28 fraudulent tokens between December 2021 and March 2023, using "private placement" and "inside information" as bait. Six of them were issued by the criminal gang themselves and listed on overseas exchanges through brokers, and then the prices were manipulated by the hired market making team. The scam gang even suggested that victims "sell their apartments" and invest fully in these fraudulent tokens.
Police have applied for court approval to confiscate approximately $34 million in assets involved in the case, including 22 bitcoins held by the main culprit in a hard wallet.