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Victims Demand Harsh Sentence for Mastermind of 5 Trillion Won MBI Crypto Ponzi Scheme
Finance · Investment Managers · yonhap_finance · 2026-09-08
Victims of the MBI cryptocurrency pyramid scheme gathered at the Cheongju District Court to demand strict punishment for the mastermind behind the fraud.
What Happened
Trial Commencement: The first trial for a 60-year-old individual identified as the mastermind behind a Malaysia-based cryptocurrency pyramid scheme, MBI, has begun at the Cheongju District Court. Members of victim advocacy groups held a press conference outside the court to demand a severe sentence for the defendant.
Fraudulent Methods: The defendant allegedly lured investors by promising returns through SNS advertising rights and a cryptocurrency known as 'GRC'. He employed a multi-level marketing structure that rewarded existing members for recruiting new investors, falsely claiming that GRC would be listed on the NASDAQ.
Scale of Damage: Representatives for the victims estimate that the scheme affected approximately 80,000 people, with total damages reaching an estimated 5 trillion won. The victims are planning to file additional criminal complaints regarding specific losses totaling 10 billion won.
Defendant's Background: After fleeing to Malaysia to evade investigation, the defendant was arrested upon his return to South Korea in 2021. He is currently serving a five-year prison sentence handed down by the Daegu District Court for previous related offenses.