Thai authorities have arrested Han, a 33-year-old South Korean national, over allegations of laundering more than $50 million in cryptocurrency into physical gold through a call-center investment scam. The arrest occurred at Suvarnabhumi Airport in Bangkok in February 2024, after investigators issued a warrant earlier that month.
Police seized Han’s mobile phone, which reportedly contained records of multiple cryptocurrency accounts used in the alleged laundering operation. Han is facing charges of fraud, computer crimes, money laundering, and involvement in a criminal syndicate. He remains in custody as the investigation continues.
How the Scam Worked and Victim Impact
The fraudulent scheme reportedly began in early 2024 and promised victims high investment returns of 30% to 50%. Initially, victims received payouts to build trust. However, when they attempted to withdraw larger amounts, they were blocked using fabricated compliance or regulatory excuses.
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Authorities estimate that between January and March 2024, Han’s accounts processed approximately 47.3 million USDT (Tether), a digital currency pegged to the U.S. dollar. USDT is a type of cryptocurrency called a stablecoin, designed to maintain the same value as one U.S. dollar. It is widely used because it is easy to transfer quickly across countries and is harder to trace than regular bank money.
Each laundering cycle reportedly involved over 10 kilograms of gold, worth about $1 million per shipment. The gold was purchased from overseas suppliers and shipped back to Thailand for storage or distribution.
The operation involved converting digital currency into physical gold, a method criminals use to hide the origin of illicit funds. This is a form of money laundering. Money laundering is the process of taking illegally obtained money and making it appear legal, often by moving it through complex transactions or converting it into different assets like gold.
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By combining cryptocurrency’s fast digital liquidity with gold’s physical tangibility, the network exploited gaps in international financial regulations, making it difficult for authorities to track the funds.
The scam demonstrates the growing complexity of cross-border financial crime and the tactics used to exploit both digital and tangible assets. Victims included numerous individuals misled by the promise of quick, high returns.
Arrests and Ongoing Investigation
In total, ten people have been arrested in connection with the scam. This includes Han, five others allegedly involved in laundering, and five “mule account” holders. Mule accounts are bank or crypto accounts controlled by intermediaries who move money for criminals, helping the main perpetrators hide their tracks.
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Investigators are now working to trace gold shipments and determine the full extent of the network. Authorities are coordinating with immigration and financial regulators to track both the origin and destination of the gold, ensuring that all parts of the criminal operation are uncovered.
The case has drawn attention to the misuse of cryptocurrency for illegal activities, reinforcing the importance of careful monitoring and stronger regulatory oversight in the digital asset space.
Han had previously studied in China and worked for a South Korean firm linked to the gold conversion process. His role involved managing cryptocurrency accounts that received funds from the scam and converting them into gold.
This operation is part of a larger regional crackdown on cryptocurrency-related crime. Similar investigations in nearby countries have revealed comparable schemes, with millions of dollars laundered through cross-border networks.