The post XRP Scam Ring Arrested After Stealing $9M From 71 Investors appeared on BitcoinEthereumNews.com.
Key Takeaways Three suspects were arrested over a 12.3 billion won XRP scheme. The fake XRP platform promised monthly returns of up to 1.8%. Police traced 27.3 billion won through wallets linked to the case. Fake XRP Platform Vanished After Collecting Investor Funds The Seoul Metropolitan Police Agency announced July 30 that investigators had apprehended three people accused of operating a fraudulent XRP investment platform, according to Korean newspaper Chosun. Authorities allege the group collected approximately 3.4 million XRP from 71 investors between Oct. 16 and Oct. 23 before closing the website and disappearing. The suspects allegedly promoted Fxrpntwork.com through portal blogs, online articles, and Youtube videos while promising guaranteed principal and monthly returns between 1.5% and 1.8%. Investors were instructed to move XRP from South Korean exchanges through overseas platforms before transferring the assets into wallets controlled by the group. Seoul police warned prospective cryptocurrency investors to verify official sources carefully before transferring assets to unfamiliar wallets or unverified platforms: “Do not be misled by unverified information on YouTube or other platforms. Verify official sources before investing.” Investigators arrested two 29-year-old suspects and plan to refer the case against a 34-year-old alleged accomplice to prosecutors while pursuing another 29-year-old suspect abroad. Police obtained an Interpol Red Notice for the overseas suspect and continued examining additional participants accused of building and promoting the fraudulent website. Fraudsters Copied Flare and FXRP Branding The alleged operators used the names Flare Network and FXRP to make their platform appear connected to legitimate blockchain infrastructure. Flare’s official FAssets system is designed to represent assets such as XRP on the Flare network through overcollateralized mechanisms, allowing those tokens to participate in decentralized applications. Ripple has warned that cryptocurrency impersonation schemes frequently copy trusted names, logos, videos, websites, and executive identities to create false credibility. Interpol…