Bitsonic CEO Faces 7 years Jail Term For Emblezzlement

Bitsonic CEO was found guilty of emblezzlement by the Seoul Eastern District Court for stealing virtual assets worth 10 billion won.

The Seoul Eastern District Court has now handed down its verdict, finding the Bitsonic CEO, a large South Korean virtual currency exchange, and his vice president of technology guilty of manipulating market prices and siphoning customer deposits.

The Seoul Eastern District Court has now handed down its verdict, finding Bitsonic CEO and his vice president of technology guilty of manipulating market prices and siphoning customer deposits.

While this story unfolds, it highlights the dangers involved with cryptocurrency exchanges and the significance of governmental control within the business.

The Criminal Agreement Division 12 of the Seoul Eastern District Court found Shin, Bitsonic CEO guilty and sentenced him to seven years in jail. Chief Judge Lee Jong-chae presided over the proceedings before delivering the verdict.

In addition, Bae, who held the position of vice president of technology at Bitsonic received a one-year prison sentence. An article published by Yonhap News Agency, the most prominent news agency in South Korea reported that the court found them guilty of various crimes under the Punishment Act for Specific Economic Crimes including fraud, falsification of records and obstruction of business by computer.

The court’s verdict highlighted the misuse of Bitsonic’s platform to artificially increase transaction volumes, misleading users into assuming that the exchange was legitimate.

The unlawful acquisition of more than ten billion dollars from a large number of victims severely undermined a significant amount of faith in virtual asset exchanges. Bitsonic Coin (BSC) is the exchange’s self-issued cryptocurrency.

Bitsonic CEO trial uncovered a sophisticated operation that spanned from January 2019 to May 2021, during which he manipulated trade volumes using Bitsonic’s cash to inflate the price of Bitsonic Coin (BSC).

Furthermore, Shin introduced fictitious Korean Won points into the Bitsonic system, creating a misleading impression of financial contributions that never occurred.

While this was happening, Shin took advantage of his position to commit fraud against 101 investors in coins, stealing their money and virtual assets totaling around 10 billion won. He did this while pretending that the operation he was running was real.

Bae also played a role in the plan by developing and implementing programs that facilitated Shin’s fraudulent operations within the transaction system.

Particularly noteworthy is the fact that the verdict serves as a jarring reminder of the possible perils within the cryptocurrency business and the necessity of rigorous regulations to protect the interests of investors.

Before engaging in transactions with virtual asset exchanges, users should exercise caution and conduct comprehensive due diligence. This is because authorities are taking measures to investigate and punish fraudulent activity.