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Police in South Korea Arrest Two Over Bitcoin Theft from Evidence Locker

South Korean authorities have arrested two individuals linked to the alleged theft of 22 bitcoins from police custody.

The stolen bitcoins, valued at approximately $1.5 million, were seized during a 2021 investigation into the "A Coin Foundation."

Local media report that the suspects have been charged with violating the Information and Communications Network Act.

It is alleged they leaked the seized coins from a device held at the Gangnam Police Station, where police mishandled the custody of the digital assets.

Instead of using a secure state-managed wallet, the police reportedly stored the assets in a cold wallet provided by the A Coin Foundation itself.

This questionable handling has raised significant concerns regarding the security and management of seized cryptocurrencies.

The suspects are believed to have accessed the wallet's mnemonic recovery phrase to facilitate the theft.

As of now, there is no indication that the stolen bitcoins have been recovered.

Authorities continue their investigation into the circumstances surrounding this incident, ensuring transparency in the process.

Additionally, the original investigator in the A Coin case is currently serving time for bribery related to the foundation, underscoring the gravity of potential corruption within the case.