Delio CEO Sentenced to 15 Years for Crypto Asset Fraud

A Seoul court sentenced Delio CEO Jeong Sang-ho to 15 years in prison for his role in defrauding customers of approximately $49.2 million in crypto assets.

The court found Jeong guilty on charges of embezzlement and using false documents to register Delio as a virtual asset service provider, but acquitted him of the primary fraud charge that alleged he deceived 2,800 people out of about $175.6 million.

This sentence length matches the term given to Terraform Labs founder Do Kwon in December for his role in the Terra/Luna collapse, which wiped out tens of billions of dollars in value globally.

The verdict reflects South Korea's growing efforts to crack down on crypto fraud and protect users. The Financial Services Commission has built a dedicated virtual asset investigation division since the 2024 Act on the Protection of Virtual Asset Users took effect.