South Korea is facing a crypto crisis as a blockchain sports platform called Winnerz is accused of running a coin scam with the help of celebrities and YouTubers. The company allegedly issued fake cryptocurrency, collected investments, and blocked withdrawals.
After anonymous investors filed complaints to the National Civil Service, they reported the scandal to the National Police Agency on Feb. 5. According to The Korea Herald, Winnerz operates multiple businesses, including cryptocurrency issuance, and has ties to many popular figures in the entertainment industry.
The involvement of celebrities and YouTubers with Winnerz came under scrutiny after users discovered photos of them at the company’s year-end party. Choi Seung-Jung, one of the main suspects who appeared with the celebrities, also faces accusations of running other crypto frauds, such as the GDG and TYP coin scam.
Celebrities Tied To Crypto Fraud
Furthermore, Celebrities have endorsed fraudulent schemes for a long time, as the cases of Kim Kardashian and Floyd Mayweather show. They faced fines for promoting similar projects. However, the scale and impact of the Winnerz scam has shocked the Korean public and the crypto community.
Many of the accused celebrities have denied any connection or investment with Winnerz, claiming they attended the party for personal reasons. These include comedian Na Sun-uk and YouTubers Kim Won-hoon and Cho Jin-se. However, some have confessed their involvement with the company and have cut ties with it since then.
Also, Oh Byeong-min, a famous YouTuber with two million subscribers, served as one of the directors of Winnerz. He confessed that he had invested in the project, but also announced his exit, saying he had stopped “all projects with Winnerz and have no plans to collaborate with Winnerz in the future.”
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