South Korean authorities are launching an investigation against 16 crypto firms for allegedly violating local laws.
Malicious people are resorting to illegal activities by taking advantage of vulnerabilities in the crypto industry and the law. Recently, the South Korean government announced that it would launch an investigation, stating that the exchanges were engaged in illegal marketing and promotional activities. 16 crypto firms are in trouble after allegations of illegal activity.
South Korea Launches Investigation for 16 Crypto Firms
South Korea’s anti-money laundering authority is chasing 16 crypto firms for allegedly operating in the country without proper regulatory approval.
The Korean Financial Intelligence Unit (KoFIU), part of the South Korean Financial Services Commission (FSC), said firms advertise crypto and offer services to Koreans without the necessary registration.
KuCoin, MEXC, Phemex, XT.com, Bitrue, ZB.com, Bitglobal, CoinW, CoinEX, AAX, ZoomEX, Poloniex, BTCEX, BTCC, DigiFinex and Pionex firms are fined 38 thousand dollars or a maximum of 5 could face a year in prison. In addition, the companies’ stock market transactions in the country will be stopped.
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