South Korea Intensifies Measures Against Unlicensed Crypto Exchanges

blockchain.news:

South Korean financial officials issued a directive on December 4, 2023, requesting users to report any unregistered cryptocurrency exchanges operating in the area. This directive was made in an effort to control the market. This approach is a reflection of South Korea's continuous attempts to simplify its digital asset market and protect investors from the possible hazards connected with virtual asset exchanges that are not regulated.

The Financial Intelligence Unit (FIU) of South Korea, in conjunction with the Digital Asset Exchange Association (DAXA), was the driving force behind this effort. A crucial part of the regulatory system is played by the Digital Asset Exchange Association (DAXA), which is comprised of the five most important digital asset exchanges in South Korea: Upbit, Bithumb, Coinone, Korbit, and Gopax. Within the scope of their combined efforts, they want to identify local as well as international virtual asset company operators who may be targeting Korean people, which might be considered a violation of Article 7 of the Specific Financial Information Act.

DAXA is the organization that first investigates reports of illicit business operations carried out by bitcoin exchanges. After the results have been compiled, they are sent to the FIU, which is responsible for determining the operator's status and deciding what steps are required. If it is discovered that operators are continuing their operations that have not been disclosed, the Federal Investigation Unit intends to involve investigative authorities and take the necessary actions. The public is strongly urged to report these businesses using the tip email provided by DAXA. The information that is sent should include pertinent corporate