South Korea arrests Bitsonic CEO for allegedly stealing $7.5M of users’ money

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<p>According to South Korean news outlet Chosun Biz, on Aug. 7, Jinwook Shin, the CEO of crypto exchange Bitsonic — who is under investigation for stealing investments and deposits from exchange users — was arrested by South Korean police. The vice president of Bitsonic will also be put on trial without preliminary detention.</p>
<p>According to the prosecution, in a period from January 2019 to May 2021, Shin falsely manipulated the prices and trading volume of cryptocurrency on Bitsonic, stealing the equivalent of $7.5 million (10 billion won) from the exchange’s users. </p>
<p>Even after liquidity issues began and Bitsonic stopped withdrawals, its CEO continued offering crypto to new clients. </p>
<p><strong><em><u>Related: </u></em></strong><strong><em>South Korea to pilot CBDC in one of these three cities, not Seoul</em></strong></p>
<p>The investigation, which started in 2021, also accuses the company VP, whom media refer to as Mr. A, of running a program to purchase the cryptocurrency held by Shin on the exchange system. In his manipulation, Shin used a paper company he opened in Singapore. </p>
<p>In August 2021, Bitsonic halted operations, citing “internal and external issues.” In the same period South Korean police shut down 11 local crypto platforms for fraud. </p>
<p>South Korea has recently established an interagency investigation unit to combat cryptocurrency crimes, aiming to address the rise in illicit activities in the market and the need for investor protection. </p>
<p><strong><em><u>Magazine: </u></em></strong><strong><em>Deposit risk. What do crypto exchanges really do with your money?</em></strong></p>
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<br /><a href="https://cointelegraph.com/news/south-korea-arrests-bitsonic-ceo-vp-stealing-7-5-million-of-users-money">Source link </a></p><p>The post <a href="https://forextraderhub.com/south-korea-arrests-bitsonic-ceo-for-allegedly-stealing-7-5m-of-users-money.html">South Korea arrests Bitsonic CEO for allegedly stealing $7.5M of users’ money</a> first appeared on <a href="https://forextraderhub.com">Forex Trader Hub</a>.</p>