Crypto meetups are dangerous to health and wealth, South Koreans warned

The government of South Korea has issued warnings to the public to avoid real life crypto meetups due to the “high risk” of catching coronavirus in the midst of a second outbreak in the country.

Segye Ilbo reports the authorities not only warned about COVID-19-related fears but of the potential for “financial damages to consumers,” following reports about fraudsters holding meetups to attract people into multi-level marketing (MLM) schemes.

One of the companies quoted by local media outlets is an “unregistered door-to-door sales company” called Muhan Group, which promotes a multilevel marketing investment opportunity allegedly based in cryptoassets. In reality it’s a simple scam, stated the report.

The authorities in the Gwanak District of Seoul noted that in the last month, quarantine officials traced back 83 positive cases to a meetup held by Muhan Group.

The country’s financial watchdog, the Financial Services Commission, said:

“General citizens should stay at their homes as much as possible in accordance with the COVID-19 Prevention Guidelines, and refrain from attending small meetings and investment-related briefings.”

Muhan Group is not the only company raising pandemic concerns for the South Korean authorities. At least 44 employees of an unnamed South Korean blockchain company recently tested positive for COVID-19. The employees have since been quarantined.