The South Korean Fair Trade Commission (FTC) is reportedly investigating 13 major cryptocurrency exchanges in the country for violations of consumer laws in electronic commerce and contracts. The investigations came after the bankruptcy announcement by cryptocurrency exchange Youbit after a major hack.
South Korean authorities have indicted 21 executives and top investors of US-based mining platform Mining Max for for allegedly scamming 18,000 investors out of 270 billion won (USD $250 million). The suspects were indicted by the Incheon District Prosecutors Office on charges of fraud and for violating the country’s law on door-to-door sales.
YouBit, a cryptocurrency exchange in South Korea, has been hacked for the second time and is being forced to shut down.
The South Korean venture has filed for bankruptcy after the losses, but said to its users that they would get 75 percent of the value of their holdings.
The United States government has publicly blamed North Korea for the massive ransomware attack called “WannaCry” that infected computers around the world earlier this year. President Donald Trump is expected to issue a public statement today.
In May of this year, the WannaCry ransomware shut down hospitals,
The Korea Blockchain Industry Association said it will adopt a raft of self-regulatory measures to boost transparency in trading of cryptocurrencies.
Composed of 14 South Korean cryptocurrency exchanges, the association said its members agreed to require investors to verify their identification through financial institutions and use a single account to carry out transactions.
South Korea’s Financial Services Commission (FSC) has reportedly issued an order banning the trade of bitcoin futures contracts in the country. According to multiple reports, the regulator does not recognize the cryptocurrency as an underlying asset of derivative products so it cannot be a subject for futures trading.
South Korea’s Ministry of Science, ICT and Future Planning (MSIP) and Korea Electric Power Corporation (KEPCO) have developed a blockchain-based system for neighborhood electricity trading and electric vehicle (EV) charging. The goal of the project is to provide relief to businesses or households that face heavy electricity bills.
The Seoul Metropolitan Government, a local government in South Korea, has teamed with Samsung SDS, the Internet technology solutions unit of Samsung Group, to implement blockchain technology for administrative use.
The local government is seeking to apply the technology to its administrative work across the city’s welfare,
Shinhan Bank, the second largest bank in South Korea, announced it is testing its bitcoin vault and wallet services.
The news comes after the recent hacking attack on Bithumb, one of the largest exchanges in the world operating in Korea.
Choe Heung-sik, the governor of South Korea’s Financial Supervisory Service (FSS), said it has no plans to regulate bitcoin trading.
Heung-sik said that while they are monitoring the practice of cryptocurrency trading, they don’t have plans right now to directly supervise exchanges.