Bithumb Wins First-Round Suit Over Sale of Mistakenly Credited Bitcoin

South Korean cryptocurrency exchange Bithumb won a first-instance lawsuit against a user who sold Bitcoin mistakenly credited during a promotional event in February.

Judge Kim Yu-seong of the Seoul Central District Court on Aug. 27 ruled in favor of Bithumb in its suit seeking the return of unjust enrichment. The case was valued at about 194 million won, or roughly $140,000.

The dispute arose after Bithumb mistakenly credited 620,000 Bitcoin units as event rewards in February. After discovering the error, the exchange blocked withdrawals and recovered 618,214 units before they were traded. It began separate recovery procedures for the remaining 1,786 units that had already been sold.

In March, Bithumb filed unjust enrichment suits against four users who sold the mistakenly credited Bitcoin and did not return the proceeds.

The first-instance ruling issued on Aug. 27 covers the second-largest claim among the four cases Bithumb filed. The other three claims are valued at about 500 million won, or roughly $361,000, 14.8 million won, or about $10,700, and 5 million won, or about $3,600.

The ruling makes it more likely Bithumb will prevail in the remaining unjust enrichment suits as well.