Fake Flare Staking Site Drains $8.5M in XRP From 71 Investors in 8 Days
Seventy-one investors in South Korea lost a combined 3.4 million XRP โ worth roughly $8.5 million โ to a fraudulent staking website that impersonated Flare Network and its FXRP token. The fake Flare staking scam ran for just eight days last October before its operators vanished, leaving victims with average losses of 173 million won ($119,000) each. Seoul police have since arrested three suspects and are pursuing a fourth through an Interpol Red Notice.
Key takeaways
- A fake staking site, Fxrpntwork.com, stole 3.4 million XRP ($8.5 million) from 71 investors in October over just eight days of operation.
- The site promised monthly returns of 1.5% to 1.8% with guaranteed principal, directing victims to move XRP into wallets controlled by the fraudsters.
- Seoul police froze 17.3 billion won in overseas exchange assets and traced a total of 27.3 billion won ($18.8 million) linked to the group.
- Three of four suspects, all aged 29, have been arrested; the fourth remains overseas under an Interpol Red Notice.
- The total funds traced exceed confirmed victim losses, which investigators say points to additional unknown victims.
Fake Flare Staking Site Scams Investors of $8.5 Million in XRP
The site, Fxrpntwork.com, posed as an official staking platform for Flare Network and its FXRP token โ both legitimate projects. Its timing was deliberate: the scheme launched just one month after FXRPโs actual release, giving the fraud a veneer of credibility at a moment when real interest in the token was high.
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