– Crypto Platforms Urged to Beef Up Compliance by South Korea’s FIU
• The Korea Financial Intelligence Unit (KoFIU) held a meeting with Korean crypto industry to double down on efforts to prevent illegal activities.
• KoFIU set up a “strategic analysis team” that will work more systematically to uncover and analyze crypto-related crimes.
• An interagency investigation unit for crypto crimes was also set up by the South Korean government, which will operate from the Seoul Southern District Prosecutors’ Office.
Korea Financial Intelligence Unit Meeting
The Korea Financial Intelligence Unit (KoFIU) in a meeting on Thursday told the Korean crypto industry to double down on their efforts to prevent illegal activities. At the meeting, KoFIU Commissioner Rhee Yunsu said that a “strategic analysis team” focused on crypto has been set up, and that the team will work more systematically to uncover and analyze crypto-related crimes going forward. This will be done so that KoFIU can offer “more meaningful and valuable data” to law enforcement and investigators, an announcement from South Korea’s Financial Services Commission said. In addition, the agency told those in the meeting that the industry needs to “strengthen the compliance capacity,” adding that it is necessary to “bolster response to illegal activities.” Present in the meeting were five companies from South Korea’s crypto industry, including local exchanges Upbit and Bithumb .
Interagency Investigation Unit for Crypto Crimes
The new joint unit will operate from the Seoul Southern District Prosecutors’ Office, and will reportedly employ 30 investigators from agencies such as the Prosecutor’s Office, the Financial Supervisory Service, National Tax Service, and Korea Customs Service. This follows an interagency investigation unit for crypto crimes being set up by South Korean government one day prior.
South Korea’s Importance in Crypto Space
South Korea has traditionally been among some of most important markets for cryptocurrency both in terms of interest from investors as well as incubator for companies in space. Despite this authorities have taken tougher stance against industry recently with prosecutors raiding offices of local exchange Bithumb accusing it of price manipulation in market as well as action taken against Terra founder Do Kwon who is currently held by Montenegro after being found guilty of trying leave country using fake passport .
Crypto Platforms Told To Improve Compliance Measures
KoFIU told those present at meeting that industry needs strengthen compliance capacity bolster response illegal activities going forward.. By doing this they aim offer more meaningful valuable data law enforcement investigators looking into any crypto related crime offenses going forward .
Conclusion
South Korea has become increasingly strict when it comes cryptocurrencies with government imposing stricter regulations order combat money laundering other forms criminal activity happening through use digital assets . However they have yet develop any specific legislation address issue meaning future uncertain .
