A Gwangju crypto-mining farm turned out to be a front for illegal gambling, a unique form of money-spinning.
On Wednesday, South Korean authorities detained a impromptu game room that had been used to transfer funds ( about$ 95, 000 ) through unlicensed devices under the illusion of mining crypto.
According to a local media review, the Gwangsan Police Station announced that they are looking into a man who was only identified as” Mr. A” for breaking the Game Industry Promotion Act.
The suspect allegedly ran the website under the pretext of a digital currency exchange and mine functioning by installing 50 changed gambling machines and two shops in an office in Gwangsan-gu earlier this month.
Authorities are expanding their search for potential compliciters after the game technology was found after the bust and have confiscated it.
According to allegations,” Mr. A” supposedly modified a free mobile game that gave people money each hour to play and gave them money as a reward for their success.
After the attack, Chief Jeong Gyeong-ho declared,” We will constantly stop illegal gambling facilities from reopening or spreading even after being cracked down on.”
We intend to resolutely crack down on illegal game establishments, according to another police official, saying that they are concerned about the economy’s protection.
South Korea’s assault on gaming
In South Korea, there are more gaming companies that evade detection by using online fronts, from crypto miners to phony purchase platforms.
These arrangements frequently appear genuine on the surface, but they make use of the distinctions between game, bitcoin, and financial services regulations.
South Korean police detained 12 operators and 191 gamblers connected to an illegal online gambling system that handled wagers worth more than$ 7.77 million ( 108.4 billion ) in November 2024.
To avoid being subjected to law enforcement investigation, the team reportedly used encrypted chat apps and special invite-only enrollment.
Authorities in South Gyeongsang detained 18 people just last week for allegedly laundering more than$ 169.5 million ( 250 billion ) from the Philippines into illegal online casinos.
An illustration of how worldwide and defensive these shadow networks have become, the operation attracted gamblers through bulk texts and digital cafés.
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