The post 48 Million in Seized Bitcoin Stolen from South Korean Prosecutors in Phishing Attack appeared on BitcoinEthereumNews.com.TLDR: Prosecutors lost approximately $48 million in confiscated Bitcoin after accessing a fraudulent phishing site. The stolen cryptocurrency was stored on USB drives rather than in institutional custody solutions for security. Wallet passwords were exposed during routine asset inspections, allowing unauthorized access to seized funds. South Korea has expanded its crypto seizure authority since the 2018 Supreme Court ruling on digital asset property. South Korean authorities are investigating a major security breach involving confiscated cryptocurrency assets. The Gwangju District Prosecutors’ Office has confirmed the loss of Bitcoin valued at approximately 70 billion won, equivalent to $48 million. The incident occurred during routine asset management procedures last year. Investigators suspect a phishing attack enabled unauthorized access to digital wallets stored on USB drives by the prosecution office. Security Breach Exposes Vulnerabilities in Asset Management The Bitcoin in question was originally seized in connection with an illegal gambling investigation. Prosecutors had confiscated the digital assets as criminal proceeds under existing property laws. The cryptocurrency was stored on portable USB devices rather than institutional custody solutions. This storage method has raised questions about standard security protocols for handling seized digital assets. The Gwangju District Prosecutors’ Office discovered the loss while conducting standard verification procedures. Officials maintain password information on removable storage devices for access management. The office was regularly checking for abnormalities in confiscated financial assets when the breach was detected. Local media reports indicate irregularities in the Bitcoin holdings became apparent during these routine inspections. During a regular inspection of confiscated financial assets, prosecution officials accessed what they believed was a legitimate website. However, investigators were inadvertently connected to a fraudulent phishing site. An official from the prosecutor’s office explained the circumstances surrounding the breach. “We know that something happened after accidentally accessing a so-called ‘fake (scam) site’ during the regular…
