South Korea's Supreme Court Rules Bitcoin Held on Exchanges is Seizable
Written by Ohris M. Greyoon, Blockchain & Crypto Expert
Source: Coinmarketcap
Updated: Jan 08 2026- Legal Precedent Established: South Korea's Supreme Court ruled that Bitcoin held on domestic exchanges qualifies as an electronic certificate with economic value, making it seizable under the Criminal Procedure Act, thereby laying a legal foundation for future digital asset regulation.
- Increased Regulatory Power: This ruling enhances regulators' control over exchange-held funds, clarifying enforcement protocols that may accelerate investigations into crypto-related fraud and money laundering, thereby strengthening the fight against financial crime.
- Measured Market Reaction: Analysts note that while the ruling primarily affects illicit activities, it underscores the importance of using compliant exchanges, potentially increasing institutional confidence and reducing systemic risk in the long term.
- Impact on Future Legislation: This decision may influence the legislative process of the Digital Asset Basic Act, with lawmakers likely incorporating the definition of 'electronic certificate' directly into statute, further clarifying the legal status of digital assets.
About the author
Ohris M. Greyoon
Ohris M. Greyoon holds a Master’s in Computer Science from MIT and has 10 years of experience in blockchain technology and cryptocurrency markets. A pioneer in decentralized finance (DeFi) analysis, he leads Intellectia’s Crypto News, offering cutting-edge insights into digital assets.
