The court's decision to absolve Lee Jung-Hoon comes a week after Bithumb's biggest shareholder was found dead while under investigation for embezzlement and stock price manipulation.
The massive losses incurred by investors over Bithumb's failure to list BXA tokens and acquire BK Group warrants an eight-year prison term for the former's de facto chairman, the prosecution says.
The Bithumb exchange is for sale. According to officials, Bithumb is selling their exchange because investors are trying to recover their investment.
Bithumb exchange chairman Lee Jung-hoo has been summoned to court in regard to the Bithumb fraud investigation; Lee is accused of fraud and evading property.
The Seoul Central District Court has ruled that shares in Bithumb should be seized from major investors due to the ongoing Bithumb fraud investigation.
South Korean Police have raided the Bithumb office twice in just one week; this time around, the police seized documents related to a fraud investigation.