In response to claims of potential irregularities and a conflict of interest over his cryptocurrency holdings, Rep. Kim Nam-kuk of the main opposition Democratic Party (DP) accepted the party’s request on Wednesday to sell his cryptocurrency holdings.
Following reports that the first-term congressman purchased about 800,000 Wemix coins in 2021, which were worth about 6 billion won (US$4.5 million) at the time and were a sizable sum that did not fit his frugal image, he has come under heavy media and public scrutiny.
Earlier on Wednesday, the DP suggested that Kim sell off the assets and made the decision to start an investigation to see if there were any abnormalities in his coin trading.
“As we have recommended he sell off his cryptocurrency assets, we believe he will comply,” senior party spokesperson Kwon Chil-seung told reporters after the party’s leadership meeting Wednesday in the southeastern city of Daegu.
Kwon also said the party’s secretary general, Rep. Kim Byung-kee, will lead an investigation.
“Outside experts with specialist knowledge could join the investigation if necessary because coins involve things hard for ordinary people to understand,” Kwon said.