South Korea Sentences Main Perpetrator of a Meme Coin "Rug Pull" Fraud to 4 Years Under the

Odaily Planet Daily News: Today, in a first-instance trial of a case applying the fraudulent unfair trading provisions of the "Virtual Asset User Protection Act," the Seoul Southern District Court sentenced a crypto influencer, surnamed Park, who masterminded a Meme coin "Rug Pull" scam, to 4 years in prison. Two other accomplices received sentences of 2 years and 6 months, and 3 years with 5 years of probation, respectively.

The prosecution stated that the defendants issued a Meme coin via Pump.fun and used social media to spread false positive information, such as "token lock-ups." This caused the coin's price to surge approximately 1001 times within 26 hours, attracting around 6,000 investors to buy in. The group then sold off their holdings to cash out. With an operation cost of only about 10 million Korean Won, the gang illegally profited approximately 400 million Korean Won. (Edaily)