A South Korean court has acquitted Jang Hyun-guk, former CEO of gaming company Wemade, of allegations regarding manipulation of the WEMIX cryptocurrency token. The Seoul Southern District Court ruled in favor of Jang, dismissing accusations of artificially stabilizing WEMIX token prices.
The court decision establishes a significant legal precedent within South Korea’s evolving cryptocurrency regulatory framework. Prosecutors had alleged Wemade sold over $200 million worth of tokens without proper disclosure, raising substantial governance and transparency concerns within the crypto community.
Despite the acquittal, the WEMIX token has suffered severe market setbacks. Its value plummeted nearly 97% from a late-2021 peak of $24.71 to approximately $0.61 by mid-2024, reflecting persistent investor skepticism. Trust was further eroded when the Wemix Foundation suffered an 8.6 million token hack ($6 million loss) in February 2024.
While clearing Jang of legal liability, the verdict does not resolve ongoing market concerns surrounding WEMIX’s governance and performance. The case highlights the complex intersection of corporate responsibility, token management, and investor protection in digital asset markets.