South Korea police arrest three in XRP staking fraud

South Korean authorities have dismantled a sophisticated cryptocurrency fraud ring that allegedly stole 3.4 million XRP, valued at approximately 12.3 billion won ($8.5 million), from 71 investors during an eight-day operation in October 2025. The Seoul Metropolitan Police Agency announced on July 30, 2026, that three suspects have been arrested, with two men, both aged 29, already referred to prosecutors on aggravated fraud charges. A fourth suspect remains overseas, subject to an Interpol Red Notice.

The scheme centered on a fraudulent website, Fxrpntwork.com, which impersonated the legitimate Flare Network blockchain and its associated FXRP token. From October 16 to 23, 2025, the operators allegedly promised investors guaranteed principal and fixed monthly returns of 1.5% to 1.8% for staking XRP. To appear credible, the group constructed an elaborate false online presence, seeding misleading information across portal blogs, online news articles, Wikipedia, and YouTube videos. A paid 34-year-old stand-in appeared in promotional content and has also been charged. Investigators said the scam was timed to exploit attention following the actual launch of FXRP-related products just...