For promoting a fraudulent cryptocurrency, a South Korean professor was sentenced to two years in prison. He was previously a committee member in current President Moon Jae-presidential in’s campaign.
According to local media, the professor and former adviser to Moon Jae-2017 in’s election campaign was sentenced to two years in prison on August 13 on fraud charges, after holding seminars in 2017 advocating a cryptocurrency called “Coal Coin.” According to reports, the professor stated that the price of Coal Coin will increase by a hundredfold, and that it had been certified by the Bank of Korea, the Financial Supervisory Service (FSS), and the Fair Trade Committee. These assertions were shown to be untrue.
The Coal Coin hoax claimed the lives of over 5,000 people and caused a total loss of over US$18 million. The professor was found guilty by the Seoul Central District Court, which stated that his participation to the promotion of the hoax token was significant. It went on to say that the victims’ investing decisions were influenced by his social status and experience as a professor and researcher.
The professor has refuted the allegations, claiming that the discussions were for scholarly purposes alone and had no goal of attracting investors. The professor’s name has been withheld since he filed an appeal on August 17 and the allegations have yet to be confirmed.