Key Takeaways:
- Regulatory Action: South Korea’s FIU issued a suspension notice to Upbit over alleged KYC violations involving 500,000-600,000 cases.
- Potential Impact: The notice proposes halting new user registrations for six months, with a decision expected on Jan. 21.
- Upbit’s Status: Despite scrutiny, Upbit remains a major global crypto player, handling $7.5 billion in daily trading volume.
Upbit, a major South Korean cryptocurrency exchange, has received a suspension notice from the Financial Intelligence Unit (FIU) for alleged Know Your Customer (KYC) violations.
The violations, flagged in November 2024, reportedly involve 500,000–600,000 breaches in client identification processes, discovered during a business license review.
🇰🇷 South Korea's regulator penalizes Upbit for KYC violations
— Satoshi Club (@esatoshiclub) January 16, 2025
Upbit, South Korea's largest crypto exchange, faces a penalty for anti-money laundering and KYC violations, with 700,000 suspected breaches reported.
The Financial Intelligence Unit (FIU) may restrict Upbit from… pic.twitter.com/PBDX3gGbL2
The FIU has proposed a six-month suspension on new user registrations, though existing users remain unaffected.
Upbit has until January 20 to provide feedback before the FIU finalizes its decision on January 21.
Founded in 2017, Upbit is one of the world’s largest crypto exchanges, with a daily trading volume of $7.5 billion.
This development raises concerns about compliance and regulatory oversight within the rapidly growing cryptocurrency industry.
About The Author
Efe Bravo, a seasoned journalist, delivers compelling insights into the cryptocurrency and blockchain industry.
His articles offer a deep dive into the latest trends, projects, and technological advancements shaping the future of digital finance.
Check Efe out on:
