The Korean Financial Supervisory Service escalated its probe into Bithumb’s mispayment to a full investigation, focusing on actual holding violations, ghost currency issues, and internal control weaknesses.
South Korea’s Financial Supervisory Service (FSS) has upgraded its inquiry into Bithumb’s massive Bitcoin misallocation from an on-site check to a full investigation. The move follows revelations that 62,000 BTC were mistakenly sent out despite the exchange only holding 46,000 BTC, raising concerns over violations of actual holding obligations, ghost currency incidents, and internal control shortcomings. The probe builds on earlier scrutiny into a 620,000 BTC misallocation to hundreds of customers, with potential licensing sanctions under the pending Digital Asset Basic Act if misconduct is identified.