South Korean police have raided the workplaces of the sports-themed blockchain platform Winnerz as a part of a probe into claims its WNZ token is a “rip-off coin.”
Per the newspaper Cash At the moment, the Seoul Metropolitan Police Company’s legal activity power introduced on April 16 that it had searched and seized proof from two areas.
South Korean Police Raid Two Addresses
Police stated they raided a Winnerz workplace in Gangnam, Seoul, and the house of the previous Winnerz CEO Choi Seung-jeong on April 1.
A court docket warrant granted police the suitable to look premises on suspicions of fraud and coercion beneath the Act on Aggravated Punishment for Particular Financial Crimes.
A number of South Korean celebrities, sports activities stars, and social media personalities have denied hyperlinks to Choi and Winnerz in latest months.
💥 Okay-pop Stars Choi Si-won, Cho Hyun-young Deny South Korean ‘Rip-off Coin’ Involvement
Okay-pop stars Choi Si-won and Cho Hyun-young have denied allegations that they had been concerned in selling so-called South Korean “rip-off cash.”#CryptoNews #SouthKoreahttps://t.co/XZoy8Se6pJ
— Cryptonews.com (@cryptonews) February 16, 2024
This adopted a viral nameless publish from a gaggle of nameless buyers who accused Winnerz of working a “multi-level rip-off” operation on February 2.
The publish has sparked controversy about each Winnerz and Choi. It has additionally reopened controversy over a token named Golden Purpose (GDG), which some declare is a “rip-off coin.”
WNZ has been listed on abroad crypto exchanges. Nonetheless, a number of South Korean buyers have filed complaints in regards to the token to the regulatory Monetary Providers Fee (FSC).
The FSC has since handed the case on to the police, the media outlet defined. The police are investigating two different WNZ-related complaints, impartial of the FSC’s personal request.
Officers reportedly consider that Choi “had beforehand been accountable for selling” GDG. The media outlet referred to as GDG “a suspected crypto fraud value billions of KRW.”
‘Rip-off Coin’ Controversies Proceed
On March 28, cops arrested the Golden Purpose CEO – surnamed Kim – and charged him with fraud-related offenses.
The Seoul Southern District Prosecutors’ Workplace’s Digital Asset Joint Investigation Unit – the nation’s prime anti-crypto crime division – started investigating Choi on associated fraud expenses late final month.
WNZ costs seem to have taken a tumble on the information.
Okay-pop stars reminiscent of Choi Si-won, of the all-male group Tremendous Junior, and Cho Hyun-young, a former member of the all-female act Rainbow, denied hyperlinks to the “Winnerz Coin controversy” in mid-February.