South Korea’s largest cryptocurrency exchange, Upbit, has paid out around 8.5 billion won ($6.07 million) to 380 victims of phone scams. Thanks to its real-time fraud detection system (FDS) and close coordination with the police, Upbit’s operator, Dunamu, was able to block the illegal transactions and recover the stolen funds. The success underscores the exchange’s commitment to protecting user assets amid the rise in cryptocurrency scams.
Upbit Refunds Stolen Funds with Police Assistance
Upbit has successfully recovered 8.5 billion won from transactions frozen in phone scams, according to a report by Ajunews on November 22. Dunamu relies on its real-time FDS system to detect and block suspicious transactions. The exchange has returned the lost funds to affected users in cooperation with the Seoul Metropolitan Police Agency.
In February, Upbit recovered 5 billion won from 246 victims, marking a milestone in its anti-fraud efforts. By November 22, an additional 3.5 billion won (approximately $2.7 million) had been returned to 134 victims, demonstrating its commitment to protecting user assets. Dunamu representative shared:
“Thanks to the investigation by the Seoul Metropolitan Police Agency and the monitoring of the FDS system at Upbit, we continue to ensure the safety of our users as cryptocurrency activities continue to increase.”
This partnership highlights the effectiveness of combining advanced technology with law enforcement to combat the growing threat of cryptocurrency-related scams and fraud. Upbit’s efforts have created a strong model for other exchanges in protecting investors from cybercrime.
