South Korean Crypto Exchange Executives Detained in Fraud Probe
- Chief of Coinnest among those detained: prosecutors’ office
- The Asian nation has been cracking down on crypto activity
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South Korean prosecutors detained four executives from two cryptocurrency exchanges on allegations of embezzlement and fraud as regulators crack down on virtual currency trading in one of the world’s busiest bitcoin markets.
Among those detained are the heads of Coinnest and another unidentified cryptocurrency exchange, said Jeong Mi-ran, press officer with the Seoul Southern District Prosecutors’ Office. Prosecutors are investigating allegations the executives siphoned funds out of client accounts into their own, Jeong said. A request for arrest warrants will be made soon, she said.