Seoul Police Bust Fake Flare Network XRP Scam, Recover 3.4 Million Coins

['Brian Njuguna', 'Brian Njuguna Is A Seasoned Crypto Journalist At Coinpaper', 'Specializing In Blockchain Innovation', 'Market Trends', 'Regulatory Developments. With A Background In Economics', 'Years Of Experience Covering The Digital Asset Space', 'Brian Delivers Sharp', 'Data-Driven Insights That Cut Through The Hype. His Reporting Bridges Global Crypto Narratives With Emerging Market Perspectives', 'Making Complex Topics Accessible To A Wide Audience.', 'Min Read'] Coinpaper 2026-07-30 11:40:54

How the Fake Flare Network XRP Staking Scam Tricked 71 InvestorsSouth Korean authorities have dismantled an alleged cryptocurrency investment scam that defrauded investors of 3.4 million XRP worth 12.3 billion won (approximately US$8.55 million) by posing as the Flare Network and promising high-yield XRP staking rewards. More notably, the case represents one of South Korea's most significant recent crackdowns on cryptocurrency investment fraud. Investigators said the group launched a fraudulent website, Fxrpntwork.com, in October 2025, carefully mimicking the legitimate to deceive investors. The campaign persuaded 71 investors to transfer their XRP from domestic exchanges to wallets controlled by the fraudsters via an overseas exchange. The scam surfaced as XRP trading activity continues to surge in South Korea.