South Korean Police Raid Winnerz Offices Over ‘Scam Coin’ Allegations

South Korean authorities have conducted a raid on the offices of Winnerz, a blockchain platform that focuses on sports, amid allegations that its WNZ token is a “scam coin.” The Seoul Metropolitan Police Agency’s criminal task force executed search warrants on two locations, including a Winnerz office in Gangnam and the home of former CEO Choi Seung-jeong. The police are investigating suspicions of fraud and coercion. This follows a viral post from anonymous investors accusing Winnerz of running a “multi-level scam” operation, which has sparked controversy and renewed concerns about another cryptocurrency, Golden Goal. Several South Korean celebrities and influencers have denied any involvement with Winnerz and Choi. The regulatory Financial Services Commission has received complaints about WNZ and has handed the case over to the police. Additionally, Choi is also being investigated by the Seoul Southern District Prosecutors’ Office’s Virtual Asset Joint Investigation Unit on fraud charges. The price of WNZ has reportedly been affected by these developments. K-pop stars Choi Si-won and Cho Hyun-young have previously denied any links to the “Winnerz Coin controversy.”