South Korean Court Affirms Bitcoin Seizure on Exchanges

On December 11, 2025, the South Korean Supreme Court ruled that Bitcoin stored on centralized exchanges can be seized, as seen in the recent seizure of 55.6 Bitcoin.

This decision sets a legal precedent for seizing crypto-assets in South Korea, affecting user strategies and regulatory practices on exchanges like Upbit and Bithumb.

Supreme Court Decision Seizes 55.6 Bitcoins in Landmark Case

The apparent consequence is increased scrutiny on exchanges hosting Bitcoin, such as Upbit and Bithumb. The court’s decision confirms Bitcoin’s status as a virtual asset subject to seizure, creating a clear legal framework for handling cryptocurrency-related crime.

Reactions to this ruling have been minimal, with no official statements from major exchanges or key industry leaders. A legal expert noted that the ruling resolves practical doubts regarding seizure laws, thereby reinforcing regulatory practices.

“Bitcoin, as an electronic token that can be independently managed, traded, and substantially controlled in terms of economic value, is a seizure target of courts or investigative agencies.” — Justice Kwon Young-jun, Presiding Justice, South Korean Supreme Court Chosun Ilbo

Impact on Exchanges: Upbit and Bithumb Under Scrutiny

Did you know? The ruling marks the first explicit legal acknowledgment in South Korea that Bitcoin on centralized exchanges is a seizable asset, setting a potential precedent for other virtual assets.

Currently priced at $90,220.87 with a market cap of $1.80 trillion, Bitcoin holds a 58.37% market dominance. The 24-hour trading volume stands at $38.88 billion. Recent market trends show a 0.34% increase over 24 hours and a 19.33% decline over 90 days, according to CoinMarketCap.

Research from Coincu suggests that this legal precedent could lead to stricter regulatory scenarios, influencing users’ decision to move assets to self-custody. The ongoing legal interpretation may prompt an evolution in how virtual assets are managed and perceived by financial authorities.