Kim Byung-ki, floor leader of South Korea's ruling Democratic Party, faces mounting pressure to resign over conflict of interest allegations.
A former aide claims Kim instructed staff to "attack" cryptocurrency exchange operator Dunamu after his son secured an internship at rival Bithumb.
The lawmaker oversees financial institutions through his position on the National Assembly's Political Affairs Committee.
What Happened
Kim's son was hurriedly hired as an intern in Bithumb's data analysis team immediately after the lawmaker's private meeting with the exchange in November 2024, according to investigative outlet NewsTapa.
A former aide told Kyunghyang Shinmun newspaper that Kim suddenly instructed them to prepare questions targeting Dunamu and its monopoly position.
Weeks after his son's hiring, Kim made critical comments about Upbit at committee meetings in February 2025.
He referenced an exchange that was "the last to suspend trading" during the Terra ecosystem collapse in May 2022 - a clear reference to Upbit.
The report also alleges that Bithumb's government relations team received bonuses "up to seven times their base salary" for securing the hiring.
Kim denied wrongdoing, stating his son's employment "has absolutely nothing to do with me."
Former aides filed a criminal complaint against Kim after claiming his wife secretly accessed their private communications.
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Why It Matters
Upbit controls approximately 72% of South Korea's cryptocurrency trading market in the first half of 2025, according to regulatory data.
The allegations emerged during a critical period for both exchanges.
Naver announced plans in November to acquire Dunamu in a $10.3 billion stock-swap deal requiring regulatory approval.
Kim is expected to address the allegations publicly on December 30.
The opposition People Power Party has demanded his immediate resignation.
The scandal adds to broader ethics concerns after separate reports alleged Kim received luxury hotel accommodations from Korean Air worth $1,100.
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