Hundreds of Billions in Multi-level NFT Fraud Allegations Involving Coupang and Naver
A group of individuals who attracted investors by promising to operate a "profit-guaranteed shopping mall" that would resell products sourced from popular overseas online stores on domestic platforms like Naver and Coupang, but failed to pay the promised returns, is now under police investigation. It was revealed that, contrary to their promises, they brought in counterfeit goods, misused investors' personal information, and even issued Non-Fungible Tokens (NFTs) under the guise of innovative e-commerce to attract investment funds.
(omitted)
Pureun “Ian” Hong, Managing partner at Decent Law Firm, the legal representative for the victims, argued that their methods amounted to a pyramid scheme and a Ponzi scheme. Attorney Hong stated, "They shifted the responsibility of recruitment onto the investors by offering them incentives for bringing in new investors." He added, "With limited actual profit generation, it appears they were using funds from newly recruited investors to pay returns to earlier investors under the guise of profits." He further emphasized, "If an investment offers unusually high returns or unfamiliar methods of receiving funds, it’s important to be suspicious and to consider the risks of acting as a nominee before investing."
