Controversy surrounds the leader of K-pop titan, Cube Entertainment, as he faces accusations of being involved in a fraudulent crypto investment scheme. There are suspicions that he artificially boosted the value of the questionable cryptocurrency token by leveraging the entertainment firm, potentially leading to potential legal repercussions.
K-Pop Powerhouse CEO Under Fire
As a researcher on Thursday, I came across a troubling piece of news: I learned that Kang Seung-gon, the CEO of Cube Entertainment, has been accused of involvement in a crypto scheme in 2022. Being the company’s primary shareholder, it is alleged that Kang leveraged the influence and popularity of our K-pop powerhouse to artificially inflate the value of a cryptocurrency and encouraged those close to him to invest in this token. This news, if proven true, raises serious questions about business ethics and transparency within our industry.
In March of 2022, Cube allocated approximately $67.834 or 100 million won towards Nestree Group Media (NMG) by joining their capital expansion. This move is said to have granted Cube a 40% ownership in the blockchain technology firm.
As per the report, the value of Nestree (EGG), the company’s cryptocurrency, skyrocketed approximately ten times following Cube’s investment announcement. Initially priced at 5 won ($0.0034), it surged to around 60 won ($0.041) by March 28, 2022.
Consequently, Nestree’s price dropped by a significant 34% the next month and continued to decline, reaching the 5-won mark the year after. At present, the token is being traded at 4.8 won, which is equivalent to approximately $0.0033, on Bithumb.
It’s important to mention that the Nestree Group Media company made its token available on the South Korean exchanges Coinone and Bithumb from August 2019 to April 2020, advertising itself as a messaging service designed specifically for blockchain-oriented communities.
Based on the findings of the report, it appears that the core operations of the company have essentially ceased. However, it’s important to note that their cryptocurrency-focused reward shopping mall, known as Nestree Mall, is still operational. What has happened is that they have either sold out or discontinued all registered products available in the mall.
Kang Denies Crypto Scam Involvement
It’s claimed that Kang has been using his connections to persuade friends and colleagues to buy Nestree’s tokens both prior to and following Cube’s investment in the company, with the implication being that this was done to ensure a profit from the original investment.
According to the investor, in early 2022, Mr. Kang persuaded me to put my money into investments, assuring me he would safeguard the initial amount, so I should have faith in him. He went on to say that numerous securities firms, Cube Entertainment executives, and loan sharks followed suit and invested in Nestree, after trusting his promises.
A different investor claimed that they trusted what Mr. Kang said and put approximately 80 million South Korean won into Nestree in March 2022. However, after the value of Nestree significantly dropped, they ended up losing more than 70 million won.
It is said that the concerned investors requested the CEO to “ensure the return of their initial investments as previously stated,” but were informed that no such guarantee was ever made by Kang. On the contrary, certain investors claimed to have received fresh investment recommendations from Kang and a promise to “assist them in recovering their losses using other cryptocurrencies.
Despite the recent accusations, I’d like to clarify that I, as a crypto investor, am confident that Cube’s CEO has not been involved in any crypto scam. He has firmly stated that neither he nor the company have ever suggested investing in cryptocurrency under the condition of a principal guarantee, implying there is no evidence supporting such claims.
Kang mentioned that the investment of the K-pop company in Nestree Group Media is a step towards Cube Entertainment’s growth in the blockchain sector. He further stated that they intend to carry on their collaborative business endeavors with Nestree. In conclusion, although he invested in EGG before the partnership between Cube and EGG, he didn’t make a profit by selling at the peak but instead experienced losses.
Despite denying the allegations, the alleged victims are considering legal action against Kang.
Read More
- EUR CAD PREDICTION
- EUR ARS PREDICTION
- EUR MYR PREDICTION
- USD RUB PREDICTION
- XRP PREDICTION. XRP cryptocurrency
- LUNC PREDICTION. LUNC cryptocurrency
- OKB PREDICTION. OKB cryptocurrency
- KSM PREDICTION. KSM cryptocurrency
- USD BRL PREDICTION
- Shiba Inu (SHIB) Whales Selling Rapidly: Details
2025-01-10 19:12