BK Global Consortium Postpones Payment To Acquire Hacked Crypto Exchange Bithumb

News | April 3, 2019 By:

The payment for the acquisition of BTC Korea.com, the operator of South Korean crypto exchange Bithumb, has been postponed by Singapore-based BK Global Consortium.

In October 2018, BK Global Consortium, a blockchain investment firm led by plastic surgeon Kim Byung-gun, signed a deal to buy 50 percent plus one share in Bithumb’s biggest stakeholder, BTC Korea, for about 400 billion won ($354.09M USD), which would make Kim the largest stakeholder of the South Korean exchange. BK Global Consortium has reportedly paid about $20 million, or 20 percent of the proceeds, to date.

South Korean news outlet News1 reported that BK Global Consortium delayed the payment for the acquisition from the end of March to the end of September due to the recent security breach at Bithumb, in which the exchange lost around $13 million worth of cryptocurrency EOS.

“Due to the structure of the consortium’s payment structure and the adjustment of its stake, payment has been postponed,” a BK Consortium official said.

On April 2, Bithumb published an update on the recent hack asking users to stop making crypto deposits in order to check its member’s assets through external organization and to cooperate with the investigating agency in connection with the security breach, which, it said, was likely to be an inside job.

“The deposit and withdrawal services for the newly listed cryptocurrency that are not related to the incident will proceed separately, and our members’ KRW deposit/withdrawal service is normally available,” Bithumb said.