South Korean financial authorities are planning sanctions against crypto exchanges illegally operating in the country, The business newspaper Hankyung reported on Friday.
The Financial Intelligence Unit (FIU) has classified a number of exchanges that are not registered as Virtual Asset Service Provider (VASPS) as targets for penalties, according to the report.
The exchanges that are targeted – Bitmex, Kucoin, Coinw, Bitunix and Kcex – have been found to be running Korean language websites without reporting to FIU. For that reason, they are classified as illegal businesses, such as country regulations.
“We are currently evaluating accessing access to unscrupulous overseas exchanges that provide services to domestic investors through consultation with the Korea Communications Standards Commission,” an FIU official said, according to the report.
“We have repaired cases of injury and related data to strengthen communication between the authorities, and we hope to see the tangible steps taken within this year.”
Bitmex, Kucoin and Coinw did not respond to CoinDesk’s request for comment.
Last month, South Korea Crypto Exchange Upbit was It is forbidden to allow new customers to move possessions to its platform For three months due to non -compliance with its obligations as a regulated provider.
Read more: Crypto Exchange Bithumb Raided by South Korea Prosecutors Over EMBEZZLEMENT ALLEGations: Report
