According to a story that was published by Aju Press on Tuesday, Chosun Ilbo, which is the biggest newspaper in South Korea, is under criticism for allegedly pushing the KOK cryptocurrency scam, which was a fraudulent operation that resulted in losses of $2.97 billion.
It was alleged by many who fell victim to the KOK hoax that the media sources had offered significant coverage that was positive, which gave the token more legitimacy.
As a means of reinforcing the scheme's image, reports emphasized the debut of KOK's primary transaction server and noted customer satisfaction awards.
Jin Eun-ja, the head of the coalition, believes that these media endorsements most likely kept the fraud going for a longer period of time, which resulted in enormous financial losses for investors who were unaware of the scheme.
Attorney Lee Min-suk, who is representing the victims, stressed that the timeliness of Chosun Ilbo's coverage raises doubts about the timing of the report.
He made the suggestion that the backing of the publication might have been of assistance to the major players behind the cryptocurrency fraud in avoiding legal ramifications during the early phases of the scheme.
With the aftermath of the KOK fraud continuing to unfold, victims and parliamentarians alike started to put pressure on the government to take more responsibility.
A number of investigations are now being carried out by the Ulsan District Prosecutor's Office; however, there have been no significant findings as of yet.
It was also brought to Jin Eun-ja's attention that a crucial player in the KOK scheme is still at large in the United States, despite the fact that they are sought as escapees.
It was early this year that he was taken into custody, and he is presently waiting to be extradited to South Korea, where he will be charged with crimes linked to his participation in the fraudulent operation.
The controversy involving KOK has captured the attention of politicians in South Korea.
During an audit of the National Assembly that took place on October 7, MPs from the Democratic Party, Yang Moon-suk and Min Hyung-bae, demanded that a thorough probe be conducted into the scam.
They said that the KOK business was a multi-level marketing scam that attracted around 1.86 million investors and caused damages estimated to be 4 trillion won, which is equivalent to approximately $2.97 billion.
In February of 2022, the value of the KOK token hit its highest point of $6.83; however, it has since dropped to $0.0003129, a significant decrease.
As a result of this fall, the token is still being traded on four different cryptocurrency exchanges: ByBit, Gate.io, Indodax, and HTX. ByBit alone just had a 24-hour trading volume of $73,114.
Considering that the KOK project's operators have not been active on social media since June 2023, it seems that they have mainly abandoned the initiative.
Concerns among investors over the future of their assets have been heightened by the lack of communication that has occurred.
