**South Korean Legislators Claim Their Wallets Are Just ‘Crypto Dust’**
**Politics | South Korea**
A member of parliament recently disclosed that he sold off $85,700 in Bitcoin immediately after reporting his holdings.
**Last updated: September 22, 2024, 19:30 EDT**
**Author: Tim Alper**
—
**About the Author**
Tim Alper is a British journalist and features writer who has been with Cryptonews.com since 2018. He has contributed to various media outlets, including the BBC, the Guardian, and Chosun Ilbo.
—
**Why Trust Cryptonews**
With over ten years of experience in cryptocurrency coverage, Cryptonews offers reliable insights. Our seasoned team of journalists and analysts combines thorough market knowledge with practical testing of blockchain technologies. We adhere to strict editorial standards to ensure factual accuracy and unbiased reporting on both established cryptocurrencies and emerging projects. Our long-standing presence in the industry and dedication to quality journalism make Cryptonews a trusted source in the ever-evolving digital asset landscape.
**Read more about Cryptonews**
—
South Korean lawmakers are reporting that their crypto wallets are hardly more than “crypto dust,” as they seek to distance themselves from any ownership of digital tokens.
According to **Sisa Journal**, several prominent lawmakers with cryptocurrency holdings have opted to divest their assets, likely influenced by ongoing political scandals related to crypto.
**Crypto Dust: What’s Left?**
At the center of this turmoil is the **Coin Gate** scandal, which involved former lawmaker Kim Nam-guk, who faced allegations of insider trading while serving on a parliamentary commission dealing with cryptocurrencies. Following further accusations of insider trading, lawmakers began to suspect one another of secretly holding tokens prior to parliamentary elections.
As a result, South Korean lawmakers and their families are now required to publicly declare their cryptocurrency holdings. Rather than confront scrutiny regarding their assets, many have chosen to liquidate their investments, leaving them with wallets that contain little more than insignificant amounts of crypto dust and a few airdrop-related tokens.
**Defining Crypto Dust**
“Crypto dust” denotes minuscule amounts of crypto assets that are typically too small to be traded. This often occurs after holders sell larger quantities of coins, leaving behind fractions that fall below the minimum trade thresholds set by exchanges.
Before the elections on April 10, only 36 out of 300 elected National Assembly officials reported any crypto holdings with tangible value. Notably, the total percentage of cryptocurrency in the combined asset portfolios of all 300 lawmakers was just 0.01%, a figure described by the media as “utterly negligible.” Many of those who did make declarations seemed to swiftly offload their crypto assets.
For instance, Chun Ha-ram from the New Reform Party mentioned that his wife held 11 crypto wallets containing tokens valued at only 22,000 won ($16.51). Chun noted that six of these tokens were airdrops for holders of **EOS**, while three were for **XRP** owners.
Chun Ha-ram, New Reform Party Lawmaker. (Source: JTBC News/YouTube)
**Bitcoin Liquidation**
The report also highlighted Democratic Party lawmaker Kim Jun-hyeok, who initially claimed to own Bitcoin (BTC) valued at 114.2 million won ($85,700). However, Kim has since stated that he “disposed of all” his Bitcoin shortly after declaring it.
On the opposing side, People’s Power Party lawmaker Park Chung-kwon revealed that he owned 58.8 million won ($44,128) worth of **Solana (SOL)** before the election, but he too sold all of his SOL holdings back in February.
**Scandal Driving Lawmakers Away from Crypto?**
The report indicated that many lawmakers have sold off their holdings right after receiving airdropped tokens. However, these records provide intriguing insights for domestic crypto enthusiasts, revealing that certain lawmakers have previously been quite active in the Bitcoin and altcoin markets.
One legislator reported having crypto wallets for approximately 45 different altcoins, yet assessed their total value at just over $580. Meanwhile, Kim Nam-guk is facing trial for ongoing allegations, having been indicted last month for allegedly using cryptocurrency to conceal his assets, which prosecutors estimate to be nearly $7.5 million.
**Follow us on Google News**
