20-Year Prison Sentence Demanded for Delio CEO: FTT Connection

South Korean prosecutors have demanded a 20-year prison sentence for Delio’s CEO Jeong Sang-ho, the crypto asset investment platform. Delio created shockwaves in the industry when it suddenly halted customer withdrawals in June 2023. In the closing arguments at the Seoul Southern District Court, prosecutors claimed that Jeong violated the Act on the Aggravated Punishment of Specific Economic Crimes. This demand elevates the victims’ long-awaited quest for justice to its peak. Yonhap news agency reported that the incident is linked to irregularities during Delio’s operations.

Delio Scandal Timeline and FTX Impact

The chain of events extends to Jeong being indicted in April 2025; this occurred about a year after authorities sought an arrest warrant for the withdrawal halt scandal involving actors like Haru Invest and B&S Holdings linked to FTT detailed analysis. Prosecutors claim that Jeong embezzled approximately 250 billion won (168.8 million dollars) worth of crypto assets from 2,800 victims over the period from August 2021 to June 2023. Haru Invest had pointed to the source of the chain reaction problems by stating it suffered a 350 billion won loss in the FTX collapse.

Prosecutors’ Claims: Embezzlement, Deception, and Lack of Cooperation

Prosecutors also emphasize that Jeong exhibited deceptive behavior, evaded responsibility, and did not cooperate in the investigation. The defense states that if Jeong is acquitted, they will compensate the victims. Victims insistently demand a heavy sentence from the court.

FTT Technical Analysis: Current Price and Trend Data

This scandal triggered by the FTX collapse is affecting the FTT token. Current data (April 30, 2026): Price $0.28, 24h Change -1.86%, RSI 43.88 (neutral), Trend: Downtrend, Supertrend: Bearish.

EMA 20: $0.2935. Expert opinion: S2 ($0.2812) strong support; if broken, bearish pressure increases toward S1. Short positions for FTT futures are risky.

Number of Victims and Economic Damage Details

2,800 victims, 250 billion won damage. Haru Invest’s 350 billion won loss from FTX deepened Delio’s liquidity crisis. This could harden South Korea’s crypto regulations.

Transparency in the Crypto Sector and Expectation of Precedent-Setting Decision

This case is testing transparency and accountability standards in the crypto sector. The prosecutors’ tough stance signals stricter oversight in platform managers’ handling of customer funds. The court will announce its first-instance decision on July 16, 2026, and the decision could set a precedent for similar cases. Investors should be prepared for volatility in FTT and related assets (ID, B).