South Korea Busts $101.7M Crypto Laundering Ring Exploiting Medical Tourism
January 18, 2026
South Korea's customs authorities have dismantled an international cryptocurrency laundering network, processing 148.9 billion won ($101.7 million) through unauthorized foreign exchange. Three Chinese nationals were referred to prosecutors by the Korea Customs Service for Foreign Exchange Transactions Act violations. From September 2021 to June 2025, they allegedly disguised illicit transfers as payments for cosmetic surgery and overseas education, leveraging the medical tourism sector.
The Operational Method
Investigators from the Seoul Main Customs Office detailed the scheme: overseas clients transferred foreign currencies for services in South Korea. Operators then acquired crypto on overseas exchanges, moved it to South Korean wallets, and converted it to won on local platforms. Funds were then dispersed across domestic bank accounts to evade monitoring, exploiting the nation's appeal as a healthcare destination.
Regulatory Context and Industry Implications
This bust follows heightened scrutiny by South Korea's customs authorities, prompted by a $290 billion gap in trade proceeds and earlier findings of 2.2 trillion won in illicit transactions. The domestic cryptocurrency market holds a 95 trillion won ($64.6 billion) capitalization and $4.35 billion average daily trading volume (Financial Services Commission, June 2025). This case highlights how criminals exploit regulatory gaps between digital asset and foreign exchange controls, impacting cross-border healthcare and patient travel. Money laundering and financial reporting charges are under consideration.
Key Takeaways
The incident reveals sophisticated exploitation of legitimate sectors like health tourism for financial crime.
Robust oversight is crucial for ensuring financial integrity within international patient transactions.
Addressing regulatory disparities between digital assets and traditional finance is vital for global wellness tourism.
Read the full article here: https://yellow.com/news/south-korea-busts-dollar102m-crypto-laundering-ring-disguised-as-medical-tourism