Hold onto your hats, folks! The rollercoaster ride of crypto drama just got juicier with Bithumb, South Korea's crypto exchange giant, facing another wave of legal trouble. It's like a never-ending saga of twists and turns, and this time the spotlight is on an apartment scandal involving the former CEO.
Picture this: South Korean prosecutors are diving into an investigation that's hotter than a jalapeño. They're on the hunt for clues about whether company funds were used to snag a swanky apartment for Kim Dae-sik, Bithumb's former big boss. The heat turned up on March 20, when the Seoul Southern District Prosecutors’ Office swooped in for a search and seizure at Bithumb's HQ in Yeoksam-dong, Seoul.
Rumor has it that Bithumb handed over a cool 3 billion won ($2.2 million) to Kim, who then allegedly funneled some of that cash into a posh apartment in Seongsu-dong, Seoul. But wait, there's more! The apartment's value reportedly skyrocketed, and authorities are sniffing around to see if the extra moolah was spent on personal pleasures.
The Financial Supervisory Service (FSS) has been playing detective for a while and finally tossed the case into the prosecutors' court. In a chat with the media, a Bithumb insider confessed that some claims hit the mark. However, they revealed that Kim got a loan and covered the apartment costs right after the FSS raised an eyebrow.
This isn't Bithumb's first dance with controversy. Earlier, the exchange was caught in a whirlwind alongside Upbit over allegations involving a South Korean lawmaker, Kim Nam-kuk, who apparently dabbled in crypto during parliamentary sessions. Talk about multi-tasking!
Flashback to January, when Bithumb's offices were raided amid accusations of price manipulation for their own BXA (Bithumb Coin). The drama intensified when prosecutors were hot on the trail of Kang Jong-hyun, the rumored puppet master behind Bithumb. He's been accused of embezzlement, market manipulation, and lining his pockets with a staggering $49 million.
Bithumb's saga also features former CEO Lee Sang-jun and pro golfer Ahn Sung-hyun, both caught up in a tangled web of bribery and stock manipulation. Fast forward to December 2024, and the gavel came down hard: Lee got two years behind bars, Ahn four and a half, and Kang one and a half.
Stay tuned, because who knows what the next chapter holds in the thrilling tale of Bithumb's legal escapades!
