The suspected real owner of South Korea’s largest cryptocurrency exchange, Bithumb, Kang Jong-hyun, has been arrested on embezzlement charges.
Kang, who is the elder brother of the head of Bithumb affiliate Inbiogen, is accused of colluding with his brother to embezzle corporate funds and manipulate stock prices.
The Seoul Southern District Court issued an arrest warrant for Kang on Jan. 25, charging him with dereliction of duty, market manipulation, and fraudulent transactions.
The South Korean National Tax Service agency has also launched an investigation into Bithumb, with investigators raiding its headquarters in Seoul.
Bithumb’s largest shareholder, Park Mo, was found dead in front of his own home in December and was under investigation for embezzlement and market manipulation.
