A fake Flare Network staking site has drained 3.4 million XRP (CRYPTO: XRP) from 71 investors, with total losses potentially reaching $19 million as investigations continue, according to a report by the Seoul Metropolitan Police Agency on Thursday.
How The Scam Actually Worked As South Korean news outlet Chosun reported, the fraudulent site operated from October 16 to October 23, 2025, promising investors monthly returns of 1.5% to 1.8% on XRP deposits.
The scammers built credibility by using the name of a genuine blockchain project and spreading fake advertising across Naver blogs, online news articles, Wikipedia, and YouTube.
Two men were detained on aggravated fraud charges and a third accomplice remains at large at an unknown overseas location, Chosun reported.
Seoul police obtained an arrest warrant and requested an Interpol Red Notice for the fugitive, according to Korea JoonAng Daily.
