As South Korea tightens crypto regulation, the Telegram-based drug ring leader faces two decades in prison.
- A South Korean court sentenced a Telegram-based drug ring leader to 20 years in prison for laundering around 6 billion won from the sale of methamphetamine.
- Prosecutors said the gang distributed more than 7000 grams of meth across close to 12000 deliveries in a year.
- The case comes as the Supreme Court tightens enforcement on crypto-related crimes across the country.
A landmark drug trafficking case in South Korea highlights how crypto is increasingly targeted in criminal enforcement. The Ulsan District Court in South Korea sentenced Mr. A to 20 years in prison for laundering $4.4 million in Bitcoin (BTC) by trafficking methamphetamine.
According to a report by News1, in a ruling released on Monday, the Ulsan District Court said that the drug-trafficking group led by Mr.A has used crypto transactions to launder proceeds from large-scale methamphetamine since 2020. They also sold synthetic hemp and LSD through Telegram channels, which prosecutors described as among the country’s largest domestic drug operations.
Between March 2022 and May 2023, prosecutors said that the gang distributed 7,046 grams of meth across 11,704 deliveries. This generated close to 5.9 billion Korean won (priced at $4.4 million).
The court has sentenced Mr. A to 20 years in prison, calling it [a] highly antisocial crime,” and Presiding Judge Park Jeong-Hong imposed a 6.1 billion Korean won fine, citing the scale of narcotics distribution and the use of digital assets to facilitate the offenses.
Crypto Regulation In South Korea
Previously, South Korea had banned corporate crypto investing. However, in early January, the ban was lifted, and public and professional investors were allowed to allocate up to 5% of equity capital to top-20 cryptocurrencies, including Bitcoin.
Bitcoin was trading at $94,863.14, after hitting a 24-hour high of $96,011.62 on Wednesday. On Stocktwits, retail sentiment around the apex crypto improved from ‘bearish’ to ‘bullish’ territory, accompanied by ‘normal’ chatter levels over the past day.
South Korea has been tightening enforcement around crypto-related financial crimes, mostly including Bitcoin and Ethereum. In December 2025, the Supreme Court in South Korea ruled that Bitcoin held on exchange accounts can be seized under criminal law, as reported by The Chosun Daily. The ruling would clarify the prosecutor’s ability to confiscate illicit funds from crypto-linked accounts, equipping authorities to combat laundering via exchanges.
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