South Korea’s Financial Intelligence Unit (FIU) on Oct. 30 asked the Korea Communications Standards Commission to block domestic access to two unregistered virtual asset operators and terminate their services in the country. On the same day, the Digital Asset eXchange Alliance (DAXA) referred Aegis Ventures, TetherMax, and SuperTrust for investigation, citing suspected violations of the Act on Reporting and Using Specified Financial Transaction Information and alleged operation of virtual asset businesses without registration. FIU specifically requested access blocks for TetherMax and SuperTrust. Aegis Ventures was not included in the blocking request because it does not have an independent website or mobile application. Under the law, operating an unregistered virtual asset business can carry a penalty of up to five years in prison or a fine of 50 million won. The rule also applies to overseas operators serving South Korean residents. FIU said unregistered operators sit outside the regulatory framework and may be used for money laundering. A joint probe conducted in June by DAXA and compliant operators found that the average trading fees charged by the firms caught in the investigation ranged from 1.5% to 10%, with the highest level reaching about 62 times the 0.16% average charged by South Korea’s five largest won-based trading platforms.
South Korea’s Financial Intelligence Unit (FIU) on Oct. 30 asked the Korea Communications Standards Commission to block domestic access to two unregistered virtual asset operators, including terminating their services in the country.
On the same day, the Digital Asset eXchange Alliance (DAXA) referred Aegis Ventures, TetherMax, and SuperTrust for investigation, citing suspected violations of the Act on Reporting and Using Specified Financial Transaction Information and alleged operation of virtual asset businesses without registration.
Two firms were named in the access-block request
FIU requested access blocks for TetherMax and SuperTrust. Aegis Ventures was not included because it does not have an independent website or mobile application.
Under the law, operators of unregistered virtual asset businesses can face up to five years in prison or a fine of 50 million won. The same law also applies to overseas operators that do business with South Korean residents.
FIU cites regulatory blind spots and June fee findings
FIU said unregistered operators remain outside the regulatory framework and may be used for money laundering.
In June this year, a joint investigation by DAXA and compliant operators found that the average trading fees charged by the firms caught in the probe ranged from 1.5% to 10%. At the high end, that was about 62 times the 0.16% average charged by South Korea’s five largest won-based trading platforms.
This article was originally published by Bit.Fan. For more cryptocurrency news and market insights, visit www.bit.fan. Disclaimer:
The market information, project data, and third-party content displayed on this platform are for industry information sharing only and do not constitute any form of investment advice or return commitment.
Cryptocurrency trading carries high risks. Users should fully assess their risk tolerance and make independent decisions. All profits, losses, and legal responsibilities are borne by the users themselves.
