Cube Entertainment CEO accused of misleading investors by claiming that Nestree token investment guaranteed principal

Kang Seung-gon, co-CEO of Cube Entertainment, a giant in the Korean music industry, has been accused of allegedly encouraging colleagues and investors to buy Nestree Media Group's digital token Nestree, claiming that the principal would be safe. While Kang Seung-gon has denied the claims, his assurances reportedly caused numerous investors to suffer significant financial losses as the token's price plummeted. The victims are currently considering legal action. Cube Entertainment's partnership with Nestree began in March 2022, when the company invested 100 million won (about $68,376) in Nestree Media Group through a paid-in capital increase, acquiring a 40% stake.