Tag: nth room

South Korea’s Leading Crypto Exchanges Aid Police in Hunting "Nth Rooms" Blackmail Porn Members

The four primary crypto exchanges in South Korea, namely Coinone, Korbit, Bithumb, and Upbit, have reportedly offered to help police investigate the sexual exploitation of underage girls in the “Nth Rooms” scandal that has sparked a national outcry. 

Crypto exchanges table vital information

The sexual exploitation of underage school-going girls in South Korea has been happening for years in the “Nth Rooms” incident. Notably, they would be filmed undertaking violent self-harm and sexual acts, and the videos taken were made available via Telegram chat rooms after members made crypto payments. 

It is reported that at least 10,000 people utilized these chatrooms after paying fees ranging from $200 to $1,200. 

Following thorough investigations by the South Korean police, dozens of victims have been established as the videos usually presented the girls’ addresses and names. Currently, the police have identified 74 people, including 16 underage girls who were exploited.

Crypto exchanges seek to reveal crucial information about this scandal that has left people across the globe mouth agape because of the inhumanity rendered to underage girls. It is alleged that among the 10,000 members in the “Nth Rooms” were famous startup company CEOs, sports stars, popular artists, and professors. 

The ringleader of the blackmails and chat rooms was revealed as 24-year-old Cho Ju-bin after at least 5 million South Koreans signed petitions to have him named. 

Crypto exchanges heed the call

Following requests by the South Korean police for assistance, the four leading crypto exchanges in this nation seek to comply with this appeal by offering crucial information that will be instrumental in unraveling the culprits in the “Nth Rooms” scandal. 

Earlier this month, the country’s national assembly amended the Act on Reporting and Use of Specific Financial Information, and this officiated the legalization of cryptocurrency trading and holding.  

Once implemented, this law will be instrumental in averting crimes, such as the “Nth Rooms” scandal and money laundering given that crypto businesses, such as exchanges, wallet companies, and trusts, will be required to have a real-name verification partnership with an approved local bank. As a result, a verified person will be assigned a single bank account where he/she can deposit and withdraw fiat currency to and from an exchange. 

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Child Porn Darknet Sites Surge with Crypto-Payments as Korean Police Hunt "Nth Room" Clientele

The use of cryptocurrencies like Bitcoin and Ethereum has become the preferred payment for internet based human trafficking and sexual exploitation services, which include blackmail porn and the sexual assault of minors and children, according to forensics firm Chainalysis.

In a blog post on April 21, Chainalysis reported an alarming and rising trend of cryptocurrency transactions being linked to coin wallets that are connected to human trafficking and slavery as well as Child Sexual Abuse Material (CSAM).

The forensics firm reveals that over the course of 2019 they were able to track nearly $1 million dollars worth of Bitcoin and Ethereum payments to addresses associated with CSAM providers which represent a, “32% increase over 2018, which in turn saw a 212% increase over 2017.”

Although a horrific increase, these transactions actually represent an incredibly small portion of the cryptocurrency market and Chainalysis attributes most of the increase to the rise of cryptocurrency adoption rather than an increased demand for child and blackmail porn.

Child Sexploitation and Cryptocurrency

The rise in CSAM transacted material has occurred despite global crackdowns by lay enforcement agencies. The report highlights the takedown of the Welcome to Video child porn operation which had been operating on the darknet and had collected over 400 bitcoins during its three-year operation.

The sexual assault of children is considered vile almost unananimously and even on the darknet, CSAM sites and the sale of such material is explicitly banned by the majority of markets.

Source: Chainalysis Insights

While cryptocurrencies like Bitcoin and Ether are untraceable to more than a random wallet address, in the case of Welcome to Video darknet site, many users paying for CSAM made the initial purchase for the crypto used via fiat and credit-card on ramps which allowed law enforcement to track and catch up with them.

South Korean Nth Room and CSAM transactions

Making national headlines in South Korea last month was the arrest and public exhibition of “Nth Rooms” blackmail porn site ringleader Cho Ju-bin.

The sexual exploitation of underage school-going girls in South Korea has been happening for years in the “Nth Rooms” incident. Notably, they would be filmed undertaking violent self-harm and sexual acts, and the videos taken were made available via Telegram chat rooms after members made crypto payments. The South Korean national community was so reviled they demanded Cho Ju-bin be named and paraded through the streets to face the public.

The police are now on the hunt for the site’s users and are being aided by the four primary crypto exchanges in South Korea, namely Coinone, Korbit, Bithumb, and Upbit. 

Source: Chainalysis Insight

On a review of payments to CSAM sites in a single South Korea region across a 7 year span, Chainalysis identified that most payments were made via exchanges during the late hours of the night and would usually transfer payments in small amounts of less than $50 USD to not raise attention

Analyst Honored for Exposing South Korean Dark Web Crypto Child Pornography and Blackmail Site

Criminal analyst, Kim Reece, has been named as a finalist for the Samuel J. Heyman Service to America Medal for her role in the takedown of the South Korean ‘Nth Room’ child pornography chat rooms that hosted the vile content of the ‘Welcome to Video’ dark web site.

US Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI) Criminal Analyst, Kim Reece was named as a finalist for the Samuel J. Heyman Service to America Medal.

According to the announcement on May 27, Reece’s blockchain analysis led to an international criminal investigation of the largest dark web child pornography sites—’Welcome to Video’ that leveraged cryptocurrency to cloak their payments on over one million video downloads.

Working alongside cross-agency partners Christopher M. Janczewski, IRS- Criminal Investigations, and Zia M. Faruqui of the US Department of Justice (DOJ), Reece’s contribution led to the arrests of the site’s operator, Jong Woo, and more than 300 users, as well as the rescue of 25 exploited children.

250,000 Child Porn Videos

The sexual exploitation of underage school-going girls in South Korea has been happening for years on the “Nth Rooms” dark web site. Notably, they would be filmed undertaking violent self-harm and sexual acts, and the videos taken were made available via Telegram chat rooms after members made crypto payments.

It is reported that at least 10,000 people utilized these chatrooms after paying fees ranging from $200 to $1,200 in Bitcoin, with trades completed through a separate protected forum.

According to the law enforcement agencies who spearheaded the investigation, the amount of child sexual pornography content seized was close to 8 TB or more than 250,000 videos.

Let’s Rape

According to the indictment, on March 5, 2018, agents from HSI, IRS-CI, the National Crime Agency in the United Kingdom, and the National Police in South Korea arrested Jong Woo Son, 23, a South Korean national. The authorities also seized the servers he used to operate a darknet market place exclusively advertising child sexual exploitation videos available for download by site members.

The dark web site was called Welcome to Video: the ‘nth rooms’ refers to a series of Telegram chat rooms where users would illegally produce and trade sexually exploitative footage of women and children. The core of the business was to turn real-life assaults into online content, with the site itself boasting over one million downloads.

As the business grew from 2018 to 2019, the Telegram chat rooms became more bespoke for its depraved clientele. The users could have their pick of the “slave room” or perhaps the “violate your acquaintance room” and a variety of rooms dedicated exclusively to child rape and sexual abuse.

In the chat rooms where underage girls were degraded, forced to behave like animals and violated in public unsanitary areas, it was common for the users to greet each with the phrase, “let’s rape.” Victims were often manipulated into giving out personal information that could be used to blackmail them into obeying the commands of the chat users.

Kim Reece Honored and Recognized

Analysis of the platform revealed that it generated close to one million BTC addresses.ICE HSI Criminal Analyst Kim Reece – Image Via ICE.Gov

“It is a great honor and privilege to recognize Kim Reece for her nomination for the Samuel J. Heyman Service to America Medal,” said Deputy Director and Senior Official Performing the Duties of Director, Matthew T. Albence. “Even more important than this prestigious acknowledgment, however, is her continued dedication and use of her expertise to protect exploited children. The efforts of Ms. Reece and her interagency partners were instrumental to the takedown of this international criminal organization.”

At the end of the announcement, Homeland Security noted some hotlines and encouraged members of the public to report any suspected child predators or exploitation. The 24 hr toll-free hotlines are 1-866-347-2423 and TTY for hearing impaired at (802) 872-6196. 

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South Korean Court Apprehends Crypto Assets of “Nth Room” Ringleader

A South Korean court has frozen 15 cryptocurrency wallets belonging to Cho Ju-bin, the orchestrator of the “Nth Rooms” scandal. The twisted Telegram chat rooms dubbed the Nth Rooms came to the light following a national outcry at the deviant sexual exploitation of underage girls and children by Cho Ju-bin and his team in exchange for bitcoin and ether payments. South Korean citizens have demanded justice and consider the events a national shame. Nth Room administrator, Cho Ju-bin was named and paraded through the Korean streets to face the public in March where he was met with disgust, taunted, and had to be shielded from the furious crowd.

Prosecutors’ plea granted

The Seoul Central District Court Criminal Settlement Division 30 decided to apprehend the crypto wallets following requests by prosecutors that they held crime proceeds gained from child pornography.

These wallets were obtained from Cho Ju-bin last month as he has been under heavy scrutiny about his role in circulating explicit underage girls content in the Telegram chat rooms dubbed Nth Rooms. The court noted that bag preservation and confiscation was a crucial procedure of temporarily deterring the disposition of criminal proceeds. 

Reportedly, the “Nth Rooms” incident had been happening for years as underage school-going girls were sexually exploited after being coerced to do inhumane acts. More than 10,000 people used these chatrooms after paying between $200 and $1,200.

Last month, Kim Reece, a US Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI) criminal analyst, was honored for her role in exposing this scandal.

Watertight case

Investigators are continuing coming up with concrete evidence in the “Nth Rooms” scandal needed to pin down the culprits because it is linked to cybersex trafficking, blackmail, and sexually exploitative videos and images. 

The court also mentioned the unearthing of 130 million won, approximately $106,000 at Cho Ju-bin’s home in April and this is also being used as evidence in the case. 

The Korean police have rolled up their sleeves as they are hunting down the clientele involved in the incident. They are being aided by crypto exchanges, such as Upbit, Bithumb, Korbit, and Coinone in the probe. 

Image via Shutterstock

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