Seoul Conducts Second Raid on Crypto Exchange Bithumb

| Updated
by Teuta Franjkovic · 3 min read
Seoul Conducts Second Raid on Crypto Exchange Bithumb
Photo: Korean National Police Agency / Instagram

The previous police raid came after Seoul police allegedly directed initial investigations at Bithumb office on September 2.

The biggest cryptocurrency exchange in South Korea Bithumb allegedly is facing a new police raid in Seoul. According to the Seoul Metropolitan Police Agency, there was an extra search administered as well as the seizure checks at Bithumb’s headquarters in the Gangnam District on September 7.

A police official allegedly confirmed that the latest investigations are focused on securing extra evidence connected with the existing accusations versus the chairman of the board at Bithumb Korea and Bithumb Holdings Lee Jung-hoon.

According to some media, the official has supposedly been blamed for major financial fraud which involves the BXA token. Presented as Bithumb’s native token, the BXA token never was either launched or listed. Through promoting BXA token, Jung-hoon reportedly involved himself in something that could be called a huge fraud that reportedly caused investor damages of 30 billion won ($25 million).

Police Raid at Bithumb Office

The latest police raid came after Seoul police allegedly directed initial investigations at Bithumb office on September 2. Together with the BXA-related investigations, Bithumb also recently had its problems regarding the outcomes of a 2017 data breach incident. At the beginning of this month, a Judge in the Seoul Central District Court allegedly ruled that Bithumb was somehow responsible for the incident.

In spite of all the reports, South Korea’s largest exchange still kept its position on the market. The crypto exchange is in the world with daily trading volume that accounts for approximately $250 million at the time of writing.

Last month, Bithumb Global launched the learning platform in order to allow its clients to earn while they learn.

The company came up with a platform called “BG Learning” to leverage the capacity of new investors in the crypto community to make more informed and properly thought out decisions while making investments.

Earning While Learning

According to the official announcement, all of this is meant to provide better outcomes in the long run for the whole crypto market, because more informed investors will be able to promote better projects and will add more value and stability. In other words, Bithumb Global is trying to give back to the community in the form of knowledge.

The platform, according to the company, works on a pretty simple model.

Still, this is more than a simple publicity campaign for the said projects. It is a full-fledged interactive learning platform that allows the users to learn about projects, associated risks, and the opportunities of investing in these particular projects. There will be scope for discussions among peers as well as communication and clarification from experts from the field of crypto and tech investment in general.

South Korean crypto exchange is obviously going through some hard times. Just a few weeks ago, the Seoul Metropolitan Police Agency decided to seize Coinbit exchange for allegedly inflating about 99% of its trading volumes, which resulted in “unfair profits” of at least about $84 million for the exchange and its team.

Business News, Cryptocurrency News, News
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