• Two high-ranking executives of the fraudulent crypto exchange, V Global, were sentenced to eight years and three years in prison, respectively.
• V Global reportedly lured investors by promising 300% returns and required new users to create accounts and deposit 6 million Korean won initially.
• With the latest arrests, there are now seven V Global execs serving their sentences behind bars.
The South Korean authorities have recently tightened their control over the digital asset space. In line with this, two high-ranking execs of the fraudulent crypto exchange, V Global, were recently sentenced to prison terms. Mr. Yang was sentenced to eight years while Mr. Oh was sentenced to three years for their role in defrauding investors.
V Global, which operated between July 2020 and April 2021, reportedly lured investors by promising 300% returns. To join the platform, new users were required to create accounts and deposit approximately 6 million Korean won initially. This deposit was supposedly guaranteed to deliver returns of 18 million won.
Unfortunately, as it turns out, the exchange was fraudulent and operated with malicious intent. It ran a Ponzi scheme, where new investors’ money was used to pay off old investors. This led to a loss of about 18 billion won for the exchange’s investors.
In addition to Mr. Yang and Mr. Oh, five other V Global execs were also arrested. These included the CEO, the CFO, the CMO, the CTO, and the COO. They are all currently serving their sentences behind bars.
The South Korean authorities are now taking extra measures to ensure that such fraudulent activities don’t take place in the future. They have implemented stricter regulations and are conducting more frequent inspections of crypto exchanges.
The financial authorities have also issued warnings to the citizens about investing in digital assets. They have urged investors to be extra cautious and to do their due diligence before investing in any crypto projects.
In conclusion, it is clear that the South Korean authorities are now taking the matter of fraudulent crypto exchanges very seriously. With the latest arrests, seven V Global execs are now serving their sentences behind bars. This should serve as a warning to those who intend to carry out similar fraudulent activities. It is best to stay away from such illegal activities and investments.