{"id":60080,"date":"2025-11-24T14:16:46","date_gmt":"2025-11-24T14:16:46","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=60080"},"modified":"2025-11-24T14:16:46","modified_gmt":"2025-11-24T14:16:46","slug":"south-korea-to-sanction-exchanges-over-aml-compliance-failures","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=60080","title":{"rendered":"South Korea To Sanction Exchanges Over AML Compliance Failures"},"content":{"rendered":"<div>\n<p>South Korea is serious about its anti-money laundering laws, and as such, the Korean Financial Intelligence Unit (FIU) is all set to sanction crypto exchanges that are not following the protocols to the T.<\/p>\n<p>According to the regulatory body, not clamping down on companies that don\u2019t follow protocols hurts the integrity of the country\u2019s growing crypto market, which has gained political momentum in recent times. As of this moment, the FIU has already taken action against <a class=\"general-link\" href=\"https:\/\/99bitcoins.com\/news\/altcoins\/crypto-news-asia-india-to-launch-rupee-backed-stablecoin-japan-rewrites-crypto-tax-rules-south-koreas-upbit-sold-to-naver\/\" target=\"_blank\" rel=\"noopener\">Dunamu<\/a>, the parent company behind Upbit, Korea\u2019s largest crypto exchange, recently acquired by Naver.<\/p>\n<p>Furthermore, it has inspected other big names, including <!--StartFragment --><span class=\"cf0\">Bithumb, <\/span><span class=\"cf0\">Coinone<\/span><span class=\"cf0\">, <\/span><span class=\"cf0\">Korbit<\/span><span class=\"cf0\">, and GOPAX,<\/span>\u00a0to see if they were following proper customer identity verification protocols and reporting suspicious transactions to the authorities on time.<\/p>\n<p>According to a <a class=\"general-link\" href=\"https:\/\/n.news.naver.com\/mnews\/article\/003\/0013617482?sid=101\" target=\"_blank\" rel=\"noopener nofollow\">local report<\/a> published on 24 November 2025, authorities in the country are currently preparing fines and penalties not just against these companies, but also against individuals breaking anti-money laundering laws. The Korean FIU is working through the cases in the same order it inspected the exchanges in the first place.<\/p>\n<blockquote class=\"twitter-tweet\" data-width=\"500\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\">The Korea Financial Intelligence Unit (FIU) is expected to impose institutional and personal penalties on Korbit, Gopax, Bithumb, and Coinone in sequence, following Dunamu. Industry insiders expect the violations to be similar across exchanges, with penalties comparable to\u2026<\/p>\n<p>\u2014 Wu Blockchain (@WuBlockchain) <a href=\"https:\/\/twitter.com\/WuBlockchain\/status\/1992816132248764443?ref_src=twsrc%5Etfw\" rel=\"nofollow\" target=\"_blank\">November 24, 2025<\/a><\/p>\n<\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>As of now, most of the inspections are done. Legal reviews and sanction committees are looking things over. Since the FIU is following the order of its examinations, per the <a class=\"general-link\" href=\"https:\/\/www.koreatimes.co.kr\/economy\/cryptocurrency\/20251118\/after-3-delays-korea-still-unprepared-for-2027-crypto-tax-rollout\" target=\"_blank\" rel=\"noopener nofollow\">report<\/a>, industry experts are expecting penalties to roll out in the same sequence, i.e., <!--StartFragment --><span class=\"cf0\">Upbit<\/span><span class=\"cf0\"> first, then <\/span><span class=\"cf0\">Korbit<\/span><span class=\"cf0\">, GOPAX, Bithumb, and Coinone.<\/span><\/p>\n<p>Bithumb may face more delays, however. The regulators are going through Bithumb\u2019s order book operations with a fine-tooth comb.<\/p>\n<p><strong>EXPLORE:\u00a0<a class=\"general-link\" href=\"https:\/\/99bitcoins.com\/cryptocurrency\/best-crypto-to-buy\/\" target=\"_blank\" rel=\"nofollow noopener sponsored\">Top 20 Crypto to Buy in 2025<\/a><\/strong><\/p>\n<h2>Dunamu Sanction To Serve As A Blueprint For Other South Korean Exchanges<\/h2>\n<p>Korean experts expect the FIU to dole out penalties to the rest of the crypto exchanges in much the same way as it did to Dunamu. With Dunamu, the FIU first <a class=\"general-link\" href=\"https:\/\/99bitcoins.com\/news\/south-korean-banks-keen-to-strike-deals-with-crypto-exchanges-even-as-upbit-comes-under-fsc-scrutiny\/\" target=\"_blank\" rel=\"noopener\">issued warnings<\/a> and sanctions against the company and its CEO, and only then decided on the fine that the company needs to fork up.<\/p>\n<p>Dunamu\u2019s CEO received a disciplinary warning in February this year, and the exchange was barred from receiving new deposits or withdrawals for three months. Fast forwarding to 6 November 2025, FIU charged the company 35.2 billion won (approx. $25.7 million) for rule violations.<\/p>\n<blockquote class=\"twitter-tweet\" data-width=\"500\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\"><img decoding=\"async\" src=\"https:\/\/s.w.org\/images\/core\/emoji\/16.0.1\/72x72\/2696.png\" alt=\"\u2696\" class=\"wp-smiley\" style=\"height: 1em; max-height: 1em;\"> <a href=\"https:\/\/twitter.com\/Official_Upbit?ref_src=twsrc%5Etfw\" rel=\"nofollow\" target=\"_blank\">@Official_Upbit<\/a> faces billions in fines for over 700,000 KYC violations as South Korea tightens its crypto regulations.<a href=\"https:\/\/twitter.com\/hashtag\/Upbit?src=hash&amp;ref_src=twsrc%5Etfw\" rel=\"nofollow\" target=\"_blank\">#Upbit<\/a> <a href=\"https:\/\/twitter.com\/hashtag\/FSC?src=hash&amp;ref_src=twsrc%5Etfw\" rel=\"nofollow\" target=\"_blank\">#FSC<\/a><a href=\"https:\/\/t.co\/SZzYlT4ted\" rel=\"nofollow\" target=\"_blank\">https:\/\/t.co\/SZzYlT4ted<\/a><\/p>\n<p>\u2014 Cryptonews.com (@cryptonews) <a href=\"https:\/\/twitter.com\/cryptonews\/status\/1891815862463615473?ref_src=twsrc%5Etfw\" rel=\"nofollow\" target=\"_blank\">February 18, 2025<\/a><\/p>\n<\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>Because the inspectors examined similar anti-money laundering protocols across other major exchanges in the country, industry insiders expect other platforms to face similar penalties.<\/p>\n<p>Financial hawks in the Korean crypto landscape believe that the total fine spread across the platforms could reach hundreds of billions of won. The exact number, however, depends on how serious their violations are.<\/p>\n<p><strong>EXPLORE:\u00a0<a class=\"general-link\" href=\"https:\/\/99bitcoins.com\/cryptocurrency\/crypto-presales\/\" target=\"_blank\" rel=\"nofollow noopener sponsored\">The 12+ Hottest Crypto Presales to Buy Right Now<\/a><\/strong><\/p>\n<h2>FIU Extends Oversight As New Tax Regime Faces Delays<\/h2>\n<p>Currently, the FIU still has four more exchanges to penalize, and it doesn\u2019t look like the regulatory body will manage to complete the process before the end of the year. Judging by the pace of the examinations and penalties, it seems like the remaining cases will be settled by mid-next year.<\/p>\n<p>Meanwhile, the country is struggling to implement its new crypto tax regime. Officials have <a class=\"general-link\" href=\"https:\/\/www.koreatimes.co.kr\/economy\/cryptocurrency\/20251118\/after-3-delays-korea-still-unprepared-for-2027-crypto-tax-rollout\" target=\"_blank\" rel=\"noopener nofollow\">admitted <\/a>that they are not ready to start taxing digital assets by January 2027 and have pointed to inadequate infrastructure and unclear guidelines.<\/p>\n<p><strong>EXPLORE:\u00a0<a class=\"general-link\" href=\"https:\/\/99bitcoins.com\/cryptocurrency\/new-cryptocurrency\/\" target=\"_blank\" rel=\"nofollow noopener sponsored\">Best New Cryptocurrencies to Invest in 2025<\/a><\/strong><\/p>\n<div class=\"nnbtc-key-takeaways\">\n<h2 class=\"nnbtc-key-takeaways__title\">Key Takeaways<\/h2>\n<ul class=\"nnbtc-key-takeaways__list\">\n<li class=\"nnbtc-key-takeaways__list-item\">\n        South Korea\u2019s FIU is penalizing crypto exchanges for AML compliance failures    <\/li>\n<li class=\"nnbtc-key-takeaways__list-item\">\n        Dunamu\u2019s sanctions set the blueprint for upcoming penalties across other platforms    <\/li>\n<li class=\"nnbtc-key-takeaways__list-item\">\n        South Korean Crypto tax rollout faces delays, adding uncertainty to Korea\u2019s regulatory landscape    <\/li>\n<\/ul><\/div>\n<p><!--EndFragment --><\/p>\n<p>The post <a href=\"https:\/\/99bitcoins.com\/news\/altcoins\/south-korea-to-sanction-exchanges-over-aml-compliance-failures\/\">South Korea To Sanction Exchanges Over AML Compliance Failures<\/a> appeared first on <a href=\"https:\/\/99bitcoins.com\/\">99Bitcoins<\/a>.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>South Korea is serious about its anti-money laundering laws, and as such, the Korean Financial Intelligence Unit (FIU) is all set to sanction crypto exchanges that are not following the protocols to the T. According to the regulatory body, not clamping down on companies that don\u2019t follow protocols hurts the integrity of the country\u2019s growing [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-60080","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/60080","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=60080"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/60080\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=60080"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=60080"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=60080"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}