Bitcoin Pyramid Scheme Amassed $20 Million In South Korea

Two gentlemen from South Korea have been sentenced for generating a bitcoin pyramid plan that swindled some 20 billion Korean gained ($20 million) from traders.

On April 19, a choose from Seoul’s Incheon District Court issued fines of $15 million and $8 million, respectively, to the two fraudsters, in accordance to nearby information source Yonhap.

The report reported the two gentlemen started the plan in 2015 and subsequently crafted a multi-stage business by promising traders large returns via investing in bitcoin.

“The multi-stage transaction is a threat to the socioeconomic order with mass output of quite a few victims,” the choose was quoted as saying in the report. The fines were being offered primarily based on the considerable sum they had captivated from victims of the plan.

The report arrives just days after neighboring China beefed up its endeavours to crack down on multi-stage advertising and marketing techniques disguised as bitcoin investments.

As noted on Wednesday, Chinese police arrested the founders of a claimed nationwide cryptocurrency pyramid plan that had amassed $13 million from around 13,000 persons.

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