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South Korean Treasure Ship ICO Loses Investors Millions

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cryptocurrency

Investors have lost literally millions of dollars in seeking out a veritable El Dorado.

They bought into the Russian treasure ship ICO sponsored by a treasure hunting company in South Korea.  And they lost everything by doing so.

The South Korean police have released their initial findings from the investigation. The results are not pretty. Around 2,600 different investors poured approximately $8 million USD (9 billion won) into this Shinil Group’s project. They argued that they had uncovered a shipwreck off the coast that had $130 billion in gold aboard.

This by itself should have raised red flags to people. It did not stop thousands from backing a cryptocurrency token based on the supposedly uncovered treasure. The Korea Herald broke the story of intrigue and deception.

The coin, Shinil Gold Coin was to have the full backing of the treasure from the uncovered Dmitrii Donskoi Russian warship wreck.

The con was so successful precisely because it had a grain of truth at the core of the story. This Dmitrii Donskoi warship-treasure ship did actually exist. The crew chose to run it aground after suffering devastating damage against the Japanese in the Russo-Japanese War of 1904-1905.

This Is Not the End of the Suffering from the Scam

As bad as this story sounds, it is not the end of it. Police in South Korea report the final losses may be even larger.

The Shinil Group was extremely clever. They ran a video clip on YouTube that claimed they had found the Russian warship wreck. Supposedly it held with 5,500 boxes containing gold bars and 200 tons in gold coins.

Some observers were skeptical of the claim, as others had made a similar assertion in the past. But treasure lust is powerful, and many were taken in by it. Never mind that the CEO of Shinil Choi Yong-seok was stopped from fleeing the country. The writing is on the wall – let the buyer beware.

 

 

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