South Korean Police Shut Down ‘International Crypto Fraud’ Ring, Freeze $1.2m

South Korean police have shut down a cryptocurrency fraud ring operating in Seoul and have frozen more than 1 billion won ($1.2 million) in digital assets.

The Metropolitan Police Agency (MPA) in South Korea has arrested four people for their role in the international crypto fraud scheme. The defendants are allegedly linked to online platforms called the RoyalBitClub and InBest which authorities say were used to scam many customers out of their digital assets.

The individuals arrested were allegedly related to the closed RoyalBitClub, a crypto Ponzi scheme that illegally obtained funds from customers by claiming it held high-yield investments. The team also operated IBEST, a cryptocurrency wallet with fake transactions that had a hidden fee retained by the operator.

The MPA has frozen a total of 1.2 billion won in digital assets connected to the fraud, as well as two cars, a luxury watch, a laptop, and a hard drive. The freeze was conducted in connection with the local accounts of two foreign customers and one local customer who were victims of the scheme.

The MPA is conducting further investigations and has asked that citizens make reports if they have been scammed by RoyalBitClub or any other illicit activities involving cryptocurrencies.