Hacker returns $21M in Bitcoin stolen from South Korean authorities: Report

CoinTelegraph

by Zoltan Vardai

February 19, 2026

AI-Generated Deep Dive Summary

A hacker has returned over $21 million worth of Bitcoin stolen from South Korean government custody, marking an unexpected turn of events. The recovered cryptocurrency, valued at approximately 320.88 Bitcoin (BTC), was transferred back to an official authorities' wallet earlier this week. This surprising gesture came after the Bitcoin had been missing since August 2025, when it was stolen during a phishing attack that exposed access credentials. The theft occurred while South Korean prosecutors were investigating another case. The loss of the cryptocurrency was only discovered during a routine inspection of seized assets on January 23, 2025, according to reports. Following the recovery, the Bitcoin was securely transferred to a domestic digital exchange wallet controlled by authorities, ensuring its safekeeping. This incident highlights the vulnerabilities in securing large-scale cryptocurrency holdings and raises questions about cybersecurity practices within government institutions. The return of the stolen assets also underscores the unpredictable nature of cybercrime, where even high-value targets can sometimes be recovered through unexpected means. For those interested in crypto, this case sheds light on the challenges of managing digital assets and the importance of robust security measures. The story is particularly significant given the growing role of cryptocurrency in global financial systems. It serves as a reminder that while blockchain technology offers transparency and immutability, it is not immune to human error or malicious intent. The recovery also prompts discussions about the legal frameworks surrounding crypto theft and the potential for similar cases in the future. Overall, this case provides valuable insights into the risks and complexities of managing cryptocurrency assets, making it a crucial read for anyone following developments in the crypto space.

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Originally published on CoinTelegraph on 2/19/2026