Investigation into the Rise of Crypto Scams and Voice Phishing in South Korea

South Korea is facing an alarming surge in crypto scams and voice phishing cases in 2025, raising concerns among investors, regulators, and financial institutions. 

With the rapid adoption of digital assets, fraudsters are exploiting loopholes in the system to target unsuspecting individuals.

Reports show that the country has witnessed a sharp increase in fraudulent activities involving impersonation, fake investment schemes, and identity theft. 

These scams are not only costing investors millions of dollars but are also eroding trust in the nation’s crypto ecosystem.

Read Also: Growing Concern on Crypto Fraud in South Korea

Rise of Crypto Voice Phishing Scams in South Korea

Voice phishing scams in South Korea have grown at an unprecedented pace. In just the first seven months of 2025, there were 420 reported cases, a dramatic 6.6-fold increase from only 64 cases in the same period of 2024.

Criminals typically pose as government officials or financial institution representatives, using fear tactics such as false accusations or fabricated account warnings. 

Victims are pressured to transfer cryptocurrency, often under the guise of resolving urgent issues or participating in promising investments.

Authorities warn that AI-driven techniques are making these scams more sophisticated, further complicating detection and prevention efforts.

Significant Fraud Case: US$13 Million Crypto Scam Fugitive

One of the most striking cases in recent years involved a fugitive in his 60s who defrauded around 1,300 victims of approximately 17.7 billion won (US$13.2 million). 

The scheme ran between 2018 and 2019, but the fugitive managed to evade arrest for nearly five years.

He was eventually caught in Seoul under unusual circumstances after drawing attention by discarding a cigarette and attempting to flee from police. 

This arrest underscored both the persistence of large-scale scams and the challenges authorities face in tracking down perpetrators.

Read Also: What is the Golf Cart Victoria (GCV) Crypto that is Indicated as a Scam?

Government and Industry Response to Crypto Scams

South Korea is tightening its regulatory grip to curb crypto scams and voice phishing. Authorities are considering new measures that assign stricter prevention and compensation duties to financial institutions, including crypto exchanges.

The government is also deploying AI-powered solutions to detect suspicious activities more efficiently. 

In addition, experts recommend raising public awareness through education campaigns and promoting stronger security practices such as two-factor authentication.

International cooperation is also being emphasized, as many of these fraud operations have cross-border elements tied to the global crypto market.

Read Also: GCV Crypto Scam in South Korea Successfully Cracked Down by Police

Final Thoughts

The rise of crypto scams and voice phishing in South Korea highlights both the opportunities and risks of digital finance. 

While authorities are stepping up their efforts, investors must remain vigilant, adopt stronger security measures, and stay informed about emerging fraud tactics. 

Combating these crimes will require a combined effort from regulators, financial institutions, and the crypto community.

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FAQs

What is crypto voice phishing in South Korea?

Crypto voice phishing involves scammers impersonating officials or financial representatives to trick victims into transferring cryptocurrency, often through fabricated warnings or fake investment offers.

How many crypto voice phishing cases were reported in 2025?

In the first seven months of 2025, South Korea reported 420 cases of crypto voice phishing, compared to 64 cases in the same period of 2024.

What tactics do scammers use in crypto phishing?

Common tactics include impersonating government agencies, issuing fake account warnings, promoting fraudulent investments, and stealing personal information to gain control of crypto assets.

How is the South Korean government responding to crypto scams?

Authorities are strengthening regulations, assigning stricter responsibilities to exchanges, deploying AI detection systems, and launching public awareness campaigns to combat fraud.

What was the biggest recent crypto scam case in South Korea?

A major case involved a fugitive who defrauded 1,300 people of about 17.7 billion won (US$13.2 million) between 2018 and 2019 before being arrested in Seoul in 2025.