South Korean prosecutors have launched an investigation into cryptocurrency exchange Bithumb, reportedly raiding its headquarters over allegations that company funds were misused to support a former CEO’s apartment purchase.
According to a report from local media outlet YTN, the Seoul Southern District Prosecutor’s Office carried out the raid at Bithumb’s office in Yeoksam-dong. Authorities are reportedly examining claims that the exchange may have provided financial assistance to its former CEO, Kim Dae-sik, who currently serves as an advisor, to acquire an apartment in Seongsu-dong, Seoul.
A source familiar with the matter told YTN that Bithumb allegedly provided Kim with a lease deposit of 30 billion won (approximately $20.4 million), which may have been used for his personal property purchase. However, prosecutors have yet to release an official statement on the findings as the investigation remains in its early stages whether charges will be brought against Kim or other Bithumb executives.
This development comes as Bithumb continues its efforts to go public in the United States. In September 2024, reports indicated that the exchange was preparing for an initial public offering (IPO) on Nasdaq, aiming for a listing in the second half of 2025. The company confirmed the plan during a shareholders’ meeting, naming Samsung Securities as its lead underwriter.
The raid on Bithumb’s headquarters came amid the exchange’s continued expansion of its trading offerings. Recently, Bithumb announced the addition of Bubble Maps (BMT) to its KRW market, further broadening its supported digital assets.
Trading for BMT was scheduled to commence at 4:00 PM on Tuesday, March 18, 2025, with a base price set at 211 won. The exchange specified that deposits and withdrawals for BMT would be exclusively supported on the Solana network. Additionally, Bithumb clarified that deposits would be processed within two hours of the announcement, requiring 20 confirmations for completion.
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