Earlier this week, South Korean authorities revealed that they had taken into custody three executives associated with Haru Invest, a cryptocurrency yield platform.
Among those arrested were both co-CEOs of the platform. The arrests came after allegations surfaced that the trio had siphoned off a staggering 1.1 trillion Korean won (equivalent to approximately $826 million) worth of digital assets from an estimated 16,000 users.
Sources from the Seoul Southern District Prosecutor’s Office disclosed that the executives stand accused of orchestrating the misappropriation of user funds, purportedly diverting substantial portions of customer deposits through an undisclosed individual. Furthermore, it’s reported that Haru Invest had falsely touted its investment strategies as “risk-free distributed investment techniques” while attracting investors with promises of returns as high as 12% through its Earn Plus product.
The investigation into Haru Invest gained momentum following a sudden suspension of withdrawals by the platform on June 14, 2023. This development prompted scrutiny not only of Haru Invest but also of its erstwhile collaborator, Delio, a crypto lending platform. Delio cited Haru Invest’s abrupt halt of deposit and withdrawal services as the reason for its own suspension of operations on the same day.#TrendingTopic #Write2Earn