Bithumb CEO Detained as Bribery Probe Widens After Second Raid

South Korean police have detained Bithumb CEO Lee Jae-won as a suspect in an ongoing bribery investigation, upgrading his status from a witness after a second raid on the exchange's headquarters.

The Seoul Metropolitan Police Agency's Public Crime Investigation Unit is investigating Lee on charges including bribery, officials said. The probe centers on allegations that Lee hired the son of independent lawmaker Rep. Kim Byung-ki in exchange for favorable legislative treatment.

Lee is accused of moving forward with the hiring of Kim's second son after receiving an employment request from the lawmaker. The investigation gained momentum after police obtained a statement from a former aide to Kim, who alleged that the lawmaker and the Bithumb CEO met at a restaurant in Mapo, Seoul, in November 2024, where the job solicitation took place. The son later worked at Bithumb for roughly six months starting in January 2025.

Investigators suspect that Kim, who served on the National Assembly's Political Affairs Committee, may have tailored his legislative activities to benefit Bithumb in exchange for his son's employment. Authorities are looking into whether Kim intentionally targeted Bithumb's primary competitor, Dunamu, by focusing legislative pressure on that company's market monopoly issues.

Police are also investigating separate allegations that Kim pressured Bithumb to hire another one of his congressional aides, identified only as "A," who has been employed at the exchange since September of last year. Police are checking whether this aide's later advisory role at Bithumb was connected to the broader alleged quid pro quo.