South Korean Police Catch Two Swindlers Involved in 4.1M Dollars Crypto Scam Targeting Senior Citizen

Crypto News– Crypto-related crimes are surging globally, particularly amidst the widespread market growth. Among the most vulnerable targets are elderly individuals, often preyed upon by fraudsters who employ various tactics to persuade them to convert their funds into cryptocurrencies, promising significant investment returns.

South Korean Police Catch Two Swindlers Involved in 4.1M Dollars Crypto Scam Targeting Senior Citizen

In response, authorities have escalated their efforts to combat such illicit activities. In a recent development, South Korean authorities have apprehended two unnamed individuals in their 20s and 30s for orchestrating a similar scam aimed at exploiting a senior citizen.

Authorities Apprehend Two Fraudsters Exploiting Elderly Victims

According to a report from the popular Korean daily, Chosun, a victim in his 60s lost nearly 5.5 billion South Korean won, equivalent to almost $4.1 million. The suspects, apprehended by the Haeundae Police Station in Busan, South Korea, allegedly enticed the victim with promises of substantial returns on investments in cryptocurrency assets from September to December 2022.

The perpetrators guaranteed a monthly profit of 70% on investments totaling 1 billion won and persuaded the victim to transfer 5.5 billion won across six transactions. They presented falsified balance certificates indicating fictitious investments.

However, according to authorities in Busan, none of the victim’s funds reached legitimate cryptocurrency trading accounts. Furthermore, the victim received counterfeit balance sheets and forged real estate contracts to conceal the deception.

Cryptocurrency Frauds Targeting the Elderly

Fraudsters often target seniors for various reasons. Seniors tend to be more trusting and may have less familiarity with technology, especially when it comes to digital assets. Additionally, some individuals in their 60s may not have sufficient retirement savings, making them vulnerable to investment schemes resembling get-rich-quick schemes in an effort to catch up on lost time.

According to the FBI’s 2022 Elder Fraud Report, financial losses from investment fraud have surged by over 300%, surpassing losses from other forms of fraudulent activities. This increase is primarily attributed to scams involving cryptocurrency investments. The report also revealed a 350% rise in losses related to cryptocurrency across various crime categories monitored by the agency.