Korean prosecutors raid Bithumb over alleged funds misuse in ex-CEO’s property deal: report

Bithumb is reportedly under investigation by Korean prosecutors for allegedly using company money to support the former CEO’s apartment purchase.

South Korean prosecutors have reportedly raided the headquarters of cryptocurrency exchange Bithumb over allegations that the company’s funds were used to assist its former CEO in purchasing an apartment.

According to Korean news channel YTN, the Seoul Southern District Prosecutor’s Office conducted the raid on Bithumb’s office in Yeoksam-dong. The investigation is said to be looking into claims that Bithumb might have helped former CEO Kim Dae-sik, now an advisor, with money for buying an apartment in Seoul’s Seongsu-dong area.

A source close to the investigation told YTN that Bithumb is said to have given Kim a 30 billion won (around $20.4 million) lease deposit for the apartment, which might have been used for his personal property purchase.

As of press time, the prosecutor’s office made no official statement regarding the specifics of the raid as the investigation is still in its early stages, the report notes. It remains unclear whether any charges will be filed against Kim or other Bithumb officials.

In September 2024, crypto.news reported that Bithumb is pursuing an initial public offering on the Nasdaq stock exchange in the U.S., aiming for a listing in the second half of 2025. At a shareholders’ meeting, the company reportedly confirmed the plan, revealing that it is actively pursuing an IPO with Samsung Securities as the lead underwriter.