South Korean man arrested in Thailand in $50 million crypto rip-off

A South Korean man was arrested in Bangkok, Thailand on Saturday, accused of laundering over $50 million price of cryptocurrency into bodily gold bars within the span of simply three months.

The person, recognized by Thai authorities solely as “Han,” was allegedly a key determine in a call-center fraud community that lured victims in with guarantees of 30-50% returns on funding. Authorities say the victims have been paid off initially in small quantities to construct belief earlier than they began dealing with withdrawal limits in a while.

In the meantime, Han allegedly amassed 47.3 million in Tether, a stablecoin tied to the worth of the U.S. greenback. He allegedly used the digital funds to buy gold bars, every weighing greater than 10 kilograms or 22 kilos, with every transaction price greater than $1 million.

Police mentioned the gold bars have been used to transform the illicit crypto funds right into a tangible commodity that the scammers might transfer throughout borders with out being detected.

After victims began submitting complaints, the Thai Legal Courtroom issued an arrest warrant for Han and his operatives in February. Eleven individuals, together with Han, have been arrested up to now with involvement within the rip-off, based on Thai media.

Thai police apprehend Han at Bangkok’s Suvarnabhumi Airport, and are charging him with fraud, impersonation, pc crimes, cash laundering, and participation in a legal syndicate.

Victims all over the world misplaced a whopping $10.7 billion to crypto scams in 2024, based on blockchain intelligence agency TRM Labs information. The report discovered that world crypto scams general have been up 456% over the previous 12 months. Consultants advise individuals to make use of caution of their strategy to cryptocurrency and even to keep away from it altogether.

Crypto has significantly turbocharged cross-border scams: the borderless, instantaneous, and nameless nature of crypto transactions facilitates these legal operations, whereas the offers evade the same old regulatory oversight of different cross-border monetary transactions.

Thailand is betting large on crypto

The information additionally comes because the Thai authorities makes an enormous wager on crypto in hopes to revamp its tourism trade.

Earlier this week, Thailand introduced an 18-month pilot program that may permit vacationers to transform crypto into the native foreign money, the Thai baht, by way of Thai-based crypto change platforms to make funds to native companies.

The Thai Finance Ministry mentioned that they are going to be capping the conversions at 550,000 baht, roughly equal to virtually $17 thousand to forestall cash laundering, Reuters reported.

Han’s residence nation of South Korea can be no stranger to multi-million greenback cryptocurrency funding scams. Simply lower than a 12 months in the past, South Korean police arrested greater than 200 individuals for stealing greater than $228 million in a crypto rip-off that has since been deemed the largest in the country’s history.