1. Overview of the Case
The victim filed a criminal complaint alleging that the defendant induced the victim to create an account on a cryptocurrency wallet application and transfer cryptocurrency to that account, and subsequently, by an unknown method, transferred the cryptocurrency to the defendant’s own account and thereby obtained an economic benefit.
The prosecution indicted the defendant on charges of computer fraud under the Criminal Act.
2. Proceedings
Hwaeum Law Office defended the defendant by presenting evidence demonstrating that a cryptocurrency (EOS) account consists of a public key and a private key, and that it is technically impossible to transfer cryptocurrency without knowledge of the private key.
The defense further argued that the defendant had no means of obtaining the private key and that the possibility that a third party had transferred the cryptocurrency could not be ruled out.
3. Judgment
The court accepted the defense’s arguments and rendered a verdict of not guilty.
4. Significance
Cryptocurrency-related cases require a detailed understanding of the technical aspects of cryptocurrency (virtual assets), including how cryptocurrency accounts are structured and how cryptocurrency transactions are conducted, in order to provide an accurate and effective defense.
This case demonstrates that a prosecution cannot properly be brought based merely on speculation without sufficient evidence grounded in an understanding of the underlying technology. It serves as an example confirming the importance of establishing the facts through appropriate technical knowledge and evidence in cryptocurrency-related criminal cases.