TechFlow reported on January 17 that, according to Yonhap News Agency, a South Korean fraud gang defrauded approximately 19 billion KRW from investors by promoting "high returns through AI automated cryptocurrency trading." In the appellate ruling, the ringleader, A (61 years old), was sentenced to three years and six months in prison, while four other accomplices received sentences ranging from one to two years in prison or suspended terms depending on their level of involvement.
The group held investment seminars in Gunsan City, Jeollabuk-do, falsely claiming that an "AI computer could connect to 7,000 global exchanges and profit from cryptocurrency price differences between countries." In reality, the system did not exist, and the "dollars" investors received were merely worthless points. The court noted that investors were also at fault for believing the promises of high returns without conducting thorough investigations.
