The South Korean Supreme Court made an important ruling on December 11th last year — individuals' Bitcoin holdings in virtual asset exchange accounts such as Upbit and Bithumb can be legally seized under the Criminal Procedure Act.

This case began in January 2020. At that time, during a money laundering investigation, the police seized 55.6 Bitcoins from the suspect's exchange account. The question arose: can cryptocurrencies in virtual asset exchanges be treated as physical evidence in the traditional sense? The Supreme Court's answer was yes.

The court's reasoning is clear: although Bitcoin is an electronic token, it has economic value, can be managed independently, traded freely, and is subject to substantial control. According to legal logic, the objects of seizure include both tangible items and electronic information. Since Bitcoin meets these criteria, it naturally becomes a target for investigation agencies to seize.

This ruling is quite significant. It explicitly clarifies the legal status of cryptocurrencies stored in exchanges from a judicial perspective for the first time, laying a precedent for future virtual asset regulation, case investigations, and legislation.