South Korea Seeks 20-Year Sentence for Delio CEO Over $169M Crypto Fraud

South Korean prosecutors have requested a 20-year prison sentence for Jeong Sang-ho, the CEO of the crypto deposit service Delio. The prosecution alleges that Jeong engaged in deliberate deception and false promotion, resulting in approximately 2,800 victims losing access to $169 million (250 billion Korean won) in frozen assets.

Delio operated by promising high-interest returns on deposited coins, but abruptly suspended withdrawals in June 2023. While Jeong's legal team acknowledged the harm caused to investors and expressed a desire to compensate victims if acquitted, prosecutors criticized his uncooperative attitude. The first-instance verdict is expected on July 16.

This legal action occurs as South Korean authorities intensify their regulatory crackdown on cryptocurrency exchanges, recently issuing fines and suspensions to platforms like Coinone and Bithumb for anti-money laundering failures.

(Source：Cointelegraph)