Gwangju Prosecutor Investigates Lost Bitcoin Valued at $47.7M

2 mins mins

Key Points:

Gwangju Prosecutor probes Bitcoin loss of $47.7 million.
Loss discovered during routine financial asset check.
Bitcoin accessed via phishing; internal investigation underway.

The Gwangju District Prosecutor’s Office in South Korea reportedly lost Bitcoin valued at up to 70 billion KRW during a routine check, involving a phishing incident.

This significant loss highlights potential vulnerabilities in handling digital assets, raising questions about safeguarding practices for seized cryptocurrency by law enforcement.

Gwangju Prosecutor Unveils Major Bitcoin Security Breach

The Gwangju District Prosecutor detected the missing Bitcoin during a routine check. The cryptocurrencies had been seized in prior criminal cases. The event involves accessing passwords from a removable storage device. The lost Bitcoin may be valued up to 70 billion Korean won.

Following this discovery, authorities began an internal investigation. The use of a fake website during the inspection indicates potential phishing activities. Meanwhile, the incident has led to broader calls for improved security measures in managing seized assets.

“We are currently investigating… We cannot confirm any specific details,” regarding the ongoing probe into the Bitcoin situation, stated a spokesperson from the Gwangju District Prosecutor’s Office.

Responses from officials have been limited, with Gwangju’s spokespersons refusing to confirm specifics from MEXC News. While the financial market remains unaffected given the assets’ legal case origins, discussions emphasize enhanced security protocols for digital assets under government oversight.

Market Stability Amid Bitcoin Management Concerns

Did you know? South Korea’s legal framework now allows the seizure of Bitcoin on exchanges, reflecting the evolving legal approach to cryptocurrency asset management.

CoinMarketCap reports Bitcoin (BTC) at $88,669.86, with a market cap of $1.77 trillion and 59.04% dominance. The last update noted a 24-hour volume of $15.32 billion, down 57.65%. BTC current stats: 19,980,315 circulating supply, set against a 21 million max supply.

bitcoin-daily-chart-5847 — Bitcoin(BTC), daily chart, screenshot on CoinMarketCap at 06:08 UTC on January 25, 2026. *Source: CoinMarketCap*

The Coincu research team highlights the episode’s potential influence on South Korea’s regulatory landscape, underscoring the need for stronger digital asset management. Given previous security breaches, reforms to government protocols in cryptocurrency oversight are deemed necessary.

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