26 Billion Won in Phishing Funds Unlocked at Crypto Exchanges
The Seoul Metropolitan Police Agency has successfully recovered over $26 billion in funds stolen through voice phishing and frozen at domestic cryptocurrency exchanges. According to a recent announcement, police tracked the flow of funds across five exchanges from 2023 to recently, identifying 1,137 victims who had their money tied up in e-wallets and bank accounts.
As part of their efforts, authorities worked closely with the exchanges to initiate refund procedures. However, they also uncovered cases where a portion of the frozen damage funds leaked out during the refund process, amounting to $3.04 billion. Police are now investigating 130 account holders involved for violating the Act on Regulation and Punishment of Criminal Proceeds Concealment.
The Virtual Asset User Protection Act, implemented in July last year, allows virtual asset service providers to restrict deposits and withdrawals on accounts for a set period. However, as the maximum six-month freezing period expired, some account holders arbitrarily disposed of the damage funds.