Lee Hee-jin fraud trial reveals alleged 2020 Upbit listing deal involving 90 billion won scheme

New allegations concerning a potential backroom arrangement between Upbit operator Dunamu and Lee Hee-jin have surfaced during the ongoing fraud trial of the South Korean cryptocurrency figure. Lee, widely recognized as the "Cheongdam-dong stock millionaire," is currently standing trial for an alleged cryptocurrency fraud scheme totaling 90 billion won, equivalent to approximately $65.2 million. The core of the fresh accusations centers on a private meeting between Lee and Dunamu's Chief Operating Officer, identified only by the surname Jeong, which occurred in a hotel suite in Gangnam, Seoul, on July 1, 2020. This encounter has triggered scrutiny regarding the impartiality of specific asset listings on the Upbit exchange platform.

Data compiled by Woofun AI indicates a suspicious temporal correlation between the private meeting and subsequent exchange activities. Just one week after the July 1, 2020 meeting, a cryptocurrency token named GOM2 was listed on Upbit. Records show that GOM2 was held under a borrowed name linked to Lee at the time of the listing.

Furthermore, a second token associated with Lee, known as PICA, was listed on the exchange six months later in January 2021. The proximity of these listings to the undisclosed meeting has fueled speculation that a quid pro quo arrangement was established to facilitate market access in exchange for undisclosed benefits.

The trial proceedings are fundamentally focused on accusations that Lee manipulated market dynamics and defrauded investors through a complex web of financial schemes. These emerging claims regarding the Upbit listings introduce a significant layer of complexity to the already high-profile legal case. In direct response to the reporting on these allegations, Dunamu issued a formal statement acknowledging the occurrence of the meeting but categorically denying any form of impropriety or illicit solicitation. The company asserted that the interaction was predicated on a pre-existing relationship and a belief that Lee had reformed his conduct.

Woofun AI notes that Dunamu representatives explicitly stated to media outlets that the coin listings adhered strictly to standard internal procedures without external influence. A Dunamu representative emphasized that the meeting was held based on a past relationship and a belief that Lee had turned over a new leaf, while reiterating that there was no solicitation related to the listings. Despite these denials, the sequence of events presents a narrative that challenges the perceived neutrality of the exchange's listing committee.

If substantiated, these allegations could precipitate significant repercussions for the South Korean cryptocurrency market, which ranks among the most active globally. Upbit stands as the largest exchange in the region by trading volume, and any credible suggestion that asset listings can be swayed by personal connections poses a severe threat to platform trust. The case underscores the intensifying regulatory scrutiny facing cryptocurrency exchanges in South Korea, where authorities are actively tightening rules to mitigate fraud and prevent market manipulation.

For market participants, this developing story serves as a critical reminder of the risks inherent in less transparent cryptocurrency projects and the necessity of rigorous due diligence. The trial of Lee Hee-jin is projected to continue for several months, and the introduction of these specific allegations may trigger further investigations into Dunamu's listing protocols. Woofun AI analysis suggests that as the legal proceedings advance, the broader crypto community will closely monitor for any evidence that could destabilize confidence in one of South Korea's most influential financial infrastructure providers.