2.6 Trillion KOK Coin Fraud Case, Calls for Strengthening FIU Role in National Assembly

A fraud case involving KOK coins worth 2.6 trillion won was discussed in the National Assembly. The number of victims is estimated to be around 570,000, and recent evidence has emerged showing the movement of Ethereum from suspicious wallets that had been inactive for the past four years and nine months. Lee Kang-il, a member of the Democratic Party, demanded a strengthened cooperative system among the Financial Services Commission, the Financial Intelligence Unit (FIU), and investigative agencies, emphasizing the need for close connections to trace criminal funds. The KOK case is suspected to be a large-scale multi-level fraud that raised investment funds through profits from digital asset deposits and the recruitment of new investors, with over 100 billion won moving from suspicious wallets to domestic and foreign exchanges by the end of 2021. Recent blockchain analysis confirmed that approximately 2,600 ETH was moved from KOK-related suspicious wallets in mid-September, and this fund was analyzed to have been converted into Bitcoin. The lawmaker stressed that the KOK case should not be approached merely as a coin fraud and argued that financial authorities should enhance their supervision and anti-money laundering functions.

This content is provided for general informational purposes only and doesn't constitute financial, investment, legal, or tax advice. Any events, rewards, online promotions, or related information mentioned herein should not be considered a recommendation, solicitation, or invitation to purchase, sell, trade, or otherwise deal in any crypto assets. Crypto assets are highly volatile and may result in loss. The availability of WEEX services, products, and related events may vary by region. You are responsible for ensuring that your participation is in accordance with applicable local laws and regulations.