A South Korea crypto court cleared Wemade’s former CEO Jang Hyun-guk of all WEMIX manipulation charges. The Seoul Southern District Court found no evidence that Jang tried to influence the price of the WEMIX token through deceptive means.
The ruling came after nearly one year of legal proceedings. Prosecutors had accused Jang of violating South Korea’s Capital Markets Act. They claimed he manipulated the WEMIX token market by hiding information about its actual supply. However, the court said there was no intent to mislead investors.
Local media outlet News1 reported the acquittal on July 15, 2025. Jang, who now works at blockchain gaming firm Nexus, left Wemade following the investigation. Prosecutors may still file an appeal to a higher court.
Prosecutors Cited Undisclosed Sales of $200M in WEMIX Tokens
The WEMIX manipulation case began after Jang’s indictment on August 5, 2024. Authorities said Wemade failed to disclose the true circulating supply of the WEMIX token, despite public claims that token liquidations had stopped.
According to the indictment, Wemade sold more than $200 million worth of WEMIX tokens between February and October 2022. Prosecutors said the company used the tokens as collateral to get stablecoin loans and made investments using the funds. These activities were not shared with the public or investors.
The prosecution stated that Wemade violated South Korea’s Capital Markets Act by omitting required disclosures. They alleged the company’s goal was to boost confidence in the WEMIX token while continuing private sales. However, the court ruled that no proof of deliberate WEMIX manipulation was found.
In December 2023, South Korea’s Digital Asset eXchange Alliance (DAXA) delisted the WEMIX token from local trading platforms. The Seoul Central District Court supported the delisting decision due to concerns about transparency.
WEMIX Token Price Falls 97% From All-Time High
The WEMIX token continues to trade far below its previous high. As of July 2025, the token’s price stands at $0.63, down 97% from its $24.71 peak reached on November 21, 2021.
The price decline followed multiple events, including the legal case over WEMIX manipulation, the WEMIX delisting, and past token sales by Wemade. These issues have raised concerns about regulatory compliance and investor trust in WEMIX token management.
Market data shows no recovery in price following the court’s ruling. Although the South Korea crypto court cleared Jang Hyun-guk, the token has yet to regain earlier value levels.
Play Bridge Vault Hack Sparks Allegations Against Wemix Foundation
In another incident, the Wemix Foundation faced criticism after a major crypto breach in early 2025. On February 28, hackers withdrew over 8.6 million WEMIX tokens from the Play Bridge Vault, causing losses of more than $6 million.
The breach triggered allegations that the Wemix Foundation delayed disclosure of the incident. Some accused the team of attempting a cover-up. CEO Kim Seok-hwan denied these claims, saying the delay aimed to reduce market panic. He stated:
“The announcement was delayed to prevent sudden disruption due to the stolen assets.”
Despite that explanation, the WEMIX token dropped 40% within days of the news. The Play Bridge Vault hack added further pressure to the already troubled Wemade ecosystem.
Both the WEMIX manipulation case and the WEMIX token security breach have drawn attention from regulators and the broader crypto market in South Korea.
