The investigation found that the group created convincing online material to support the fake project and make it appear legitimate. False reference pages, blog posts, online articles, and promotional videos were published to strengthen trust among potential victims.
The probe also revealed that victims were instructed to move their $XRP through overseas exchanges before sending funds to designated wallet addresses. This process made the transfers appear more credible while helping the organizers distance themselves from the stolen assets.
Ultimately, the website operated for slightly more than one week before shutting down without warning after attracting deposits. During that period, seventy-one victims transferred about 3.4 million $XRP worth roughly $8.6 million (12.3 billion won) into wallets controlled by the suspects.
Where the Stolen Funds Went
Blockchain tracing later showed that the suspects’ wallets handled digital assets worth approximately $19 million (27.3 billion won) during the operation. Officials froze about $12.1 million (17.3 billion won) on foreign exchanges, while the remaining funds have not been recovered.
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The confirmed losses averaged around $121,000 (173 million won) per victim, although the amounts varied significantly. Police said at least one victim reported losing more than one billion won through the fraudulent platform.
The financial investigation eventually led to several arrests in South Korea. Three men in their late twenties and thirties were taken into custody in South Korea during the investigation. Two suspected organizers face aggravated fraud charges, while another suspect remains overseas under an international alert.
cryptopotato.com
