South Korean authorities have expanded their investigation into crypto exchange Bithumb, formally naming CEO Lee Jae-won as a suspect in an alleged bribery and preferential hiring case involving the son of Independent lawmaker Kim Byung-ki.
According to a local report, the Seoul Metropolitan Police Agency’s Public Crime Investigation Unit is investigating whether Lee approved the hiring of Kim’s second son after receiving a direct employment request from the lawmaker.
Police probe alleged job solicitation
Investigators reportedly obtained testimony from a former aide to Kim who previously exposed multiple allegations against the lawmaker.
According to the statement, Kim and Lee allegedly met during a gathering at a restaurant in Seoul’s Mapo district in November 2024, where Kim is accused of requesting employment for his son at Bithumb.
Police are now examining whether the hiring was connected to Kim’s position on the National Assembly’s Political Affairs Committee. Authorities also suspect the lawmaker may have directed legislative attention toward monopoly-related concerns involving Dunamu, the operator of rival exchange Upbit, while maintaining favorable relations with Bithumb.
The investigation extends beyond Kim’s son. Police are also reviewing allegations that Kim requested employment opportunities for a former aide who worked in his parliamentary office. The aide reportedly joined Bithumb in September 2025.
Investigators are expected to summon current and former employees, including the aide, to determine the circumstances surrounding the hiring process and whether any preferential treatment occurred.
CEO added as bribery suspect
The latest development follows a second search warrant executed at Bithumb’s headquarters in Seoul’s Gangnam district.
According to reports, police formally listed CEO Lee as a bribery suspect in the warrant application submitted on June 8.
During an earlier raid conducted in February, authorities reportedly treated Kim as a suspect in a bribery investigation connected to the hiring allegations, while Bithumb was initially classified as a witness.
Following months of analysis of seized materials and internal records, investigators have now expanded the scope of the case.
Growing pressure on Bithumb
The latest allegations add to the increasing regulatory scrutiny facing one of South Korea’s largest cryptocurrency exchanges.
Earlier this week, reports revealed that Bithumb was already facing heightened regulatory attention over anti-money laundering (AML) and know-your-customer (KYC) compliance concerns.
The exchange has also been under repeated examination by South Korean authorities as regulators tighten oversight of the country’s digital asset sector.
While no formal charges have yet been filed against Lee or Kim, the investigation marks another significant challenge for Bithumb as authorities continue reviewing the relationship between crypto businesses and political figures in South Korea.
Police have not yet announced when either Lee or Kim will be summoned for questioning.
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