A collaborative study conducted by Korean regulatory bodies – the Financial Supervisory Service (FSS) and Korea Financial Intelligence Unit (FIU) – has uncovered that 70% of cryptocurrency exchanges in South Korea did not fully refund investors’ funds upon closure. The FSS emphasized that even in cases where refunds were made, the process was handled by just a few employees, causing significant inconvenience for customers. This issue, impacting a large number of crypto investors, underscores the lack of proper communication and inadequate staffing during the reimbursement phase. With more than 6 million Koreans participating in cryptocurrency trading, the authorities have stressed the importance of implementing stricter regulations and ensuring compliance with forthcoming laws to safeguard investors in the crypto market.
