South Korea hands first non-regulator crypto fraud conviction under new law

A court in South Korea has sentenced a man to two and a half years in prison for laundering proceeds from a fake coin investment scam, marking the first time the new Virtual Asset User Protection Act was used in a fraud case not referred by financial regulators. The Goyang branch of the Uijeongbu District Court found that a group of scammers operated a fraudulent investment platform, offering non-existent digital tokens to unsuspecting investors. Promoters claimed that the tokens were available at a discount and would generate substantial profits when listed on a cryptocurrency exchange. However, there was no intention to deliver any actual assets to buyers. A man identified as “A” handled the money laundering aspects of the operation.

BeCrypto News shows a short excerpt and links to the publisher. The full report belongs to CoinTurk News.