South Korea's Financial Regulator Tightens Measures Against Illegal Activities on Crypto Exchanges

user avatar

by Giorgi Kostiuk

2 years ago

Made with AI

  1. Laws and Regulations
  2. Cryptocurrency Exchanges in South Korea
  3. Current Market Situation


    4. South Korea’s Financial Supervisory Service (FSS) announced plans to crack down on cryptocurrency exchanges across the country. This marks the first big move under the new Virtual Asset Users Protection Act.

    Laws and Regulations

    This law packs a serious punch, including life sentences for those who illegally rake in more than 5 billion won (about $3.7 million). South Korea’s exchanges collectively represent about 5% of the global cryptocurrency trading volume.

    The FSS will establish market order through stern punishment against illegal activities that may be identified in the process of its inspection, and will push for the revision of regulations if necessary by identifying the areas in the system where improvements are needed.

    Cryptocurrency Exchanges in South Korea

    Altogether, the country hosts four major won-based exchanges: Upbit, Bithumb, Coinone, and Korbit. Beyond those, the FSS will also be scrutinizing three more exchanges and one cryptocurrency wallet provider. Upbit controls roughly 83% of the total trading volume, with Bithumb at second place with 13%, while Coinone and Korbit each hold around 1.1%.

    Current Market Situation

    The surge in activity is partly due to the renewed interest in crypto after the recent changes in regulations. High trading volumes in South Korea are largely driven by retail investors, who are known for their active trading strategies and interest in altcoins. In contrast, markets like the U.S. see more institutional trading. The total daily trading volume across all cryptocurrency exchanges is approximately $20 billion. Binance leads with a daily trading volume of about $7.29 billion. Binance has reported holding approximately $92.7 billion in total assets across its platform, including various cryptocurrencies and stablecoins. Coinbase’s reserves are estimated at around $30 billion, primarily in Bitcoin and Ethereum.

    The tighter controls on cryptocurrency exchanges in South Korea aim to ensure user safety and prevent illegal activities. The new law reflects the regulators' serious intentions to maintain order in the cryptocurrency market.

Tier I

Sector: #18291

Sealed Cache Room

Resource Cache

Resource Cache

Tier I

Requires 25% Tier Progress to Claim
Meme Cache

Meme Cache

Tier I

Requires 50% Tier Progress to Claim
Equipment Cache

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

After collecting, caches will be stored in your inventory and can be opened with Keys.

Other news

Microsoft Stock Surges as Demand for AI Features Grows

chest

Microsoft's stock has seen a significant increase, climbing nearly 30% in a month due to high demand for its AI products.

user avatarMohamed Farouk

Kalshi Ordered to Cease Most Operations in Washington

chest

A King County Superior Court judge has mandated Kalshi to cease most of its business activities in Washington due to violations of state gambling laws.

user avatarElias Mukuru

Potential Peace Deal Between US and Iran Could Boost Markets

chest

Potential peace deal between the US and Iran could boost markets by elevating investor sentiment and reducing inflation.

user avatarDiego Alvarez

Cryptocurrency Market Remains Stable Amid Inflation Changes

chest

The cryptocurrency market remains stable despite falling inflation numbers, with Bitcoin trading around $63,000.

user avatarMaria Fernandez

Asian and US Stock Markets React to Falling Inflation

chest

Asian stock markets showed relief on August 14, 2026, with the US stock market following suit in premarket hours as investors reacted positively to the dip in inflation numbers.

user avatarKenji Takahashi

US Inflation Rates Show Slight Decrease in July 2026

chest

US inflation numbers cooled slightly in July 2026, with the Consumer Price Index dropping, although prices remain higher than pre-US-Iran conflict levels.

user avatarGustavo Mendoza

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.