Coinone has won a court appeal that mandates five customers to return Bitcoin that they wrongfully withdrew twice from the exchange due to a glitch that occurred in 2018.

The Seoul Western District Court found that the customers were unjustly enriched after receiving double withdrawals, as the first transaction was processed prior, despite the company’s system misinterpreting slow confirmations from the Bitcoin network as failed transactions. Consequently, automatic account replenishments took place.

During that time, the Bitcoin network faced significant congestion amidst soaring transaction volumes, resulting in heightened fees and delays, leading to confusion and multiple withdrawals by these customers.

Initially, a lower court had attributed the issue to Coinone’s servers and limited compensation. However, the appellate court deemed the delay external and stated that Coinone should not incur the losses, directing customers to return the funds.