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Crypto Mining Scam Busted: South Korea Raids $95K Illegal Gambling Ring Disguised as Bitcoin Farm
The Setup
South Korean police uncovered a brazen operation in Gwangju where what looked like a legit crypto exchange was actually running an underground casino. 50 rigged gaming machines hidden behind fake “mining infrastructure.” Players paid ~$38/hour to play, with cash payouts based on scores. Total take: over $95,000 in illegal profits before the bust.
The suspect, identified only as “Mr. A,” faces charges under the Game Industry Promotion Act. All equipment seized.
This Is Getting Worse
This isn’t isolated. South Korea’s seeing a surge in crypto-fronted gambling operations exploiting regulatory gray zones:
Why It Works
Gamblers and regulators live in different worlds. Operators slip between crypto regs, gaming laws, and fintech gray areas—making it hard to crack down fast enough. Authorities are tightening up, but the question lingers:
How many other “mining farms” are actually casinos running in the shadows?
The digital economy moves faster than enforcement. This case proves it.