• The Korea Financial Intelligence Unit (KoFIU) held a meeting with the Korean crypto industry to double down on efforts to prevent illegal activities.
• KoFIU has set up a “strategic analysis team” focused on crypto to uncover and analyze crypto-related crimes.
• An interagency investigation unit for crypto crimes was recently set up by the South Korean government, with authorities taking a tougher stance against the industry in recent times.
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.
Joint Cryptocurrency Crime Unit Established
The meeting between KoFIU and the crypto industry comes just one day after an interagency investigation unit for crypto crimes was set up by the South Korean government. The new joint unit will operate from Seoul’s Southern District Prosecutors‘ Office, employing 30 investigators from agencies such as the Prosecutor’s Office, Financial Supervisory Service, National Tax Service, and Korea Customs Service .
South Korea’s Growing Crypto Industry
South Korea has traditionally been among the most important markets for cryptocurrency , both in terms of interest from investors and as an incubator for companies in this space . Despite this , authorities have taken a tougher stance against this industry in recent times .
Recent Government Actions Against Crypto Platforms
Prosecutors have raided offices of local exchange Bithumb , accusing it of price manipulation in this market . Furthermore , prosecutors also took action against Terra founder Do Kwon , who is currently held by Montenegro after being found guilty of trying to leave his country using a fake passport .
In conclusion , these actions demonstrate that South Korean authorities are serious about cracking down on any illegal activities related to cryptocurrencies . It remains unclear how effective these measures will be but it is clear that authorities are determined to ensure compliance within this space .