Coindesk Korea reports that UpBit, the largest Korean exchange was raided on May 10-11 for allegedly selling cryptocurrency to their customers that they do not actually hold.
Investigators have seized hard disks and accounting documents through confiscation and will be analyzing them for the next few days.
This news comes shortly after the country had announced that they are investigating cryptocurrency exchanges amid a regulatory crackdown.
UPbit is one of a few Korean exchanges to be raided. In March,there were three Korean exchanges raided, the largest being Coinnest, the fifth largest in Korea at the time. Coinnest’s founder, Kim Ikhwan and another were taken into custody in April.
When asked, an UPbit representative declined to comment on the raid. This story is still developing, updates will be posted as soon as they are available.