#Upbit is being investigated for KYC violations.#
Hot Topic Overview
Overview
The Financial Intelligence Unit (FIU) of the Financial Services Commission of Korea will hold a sanction review committee meeting on January 21 regarding Upbit, focusing on violations of customer identification verification (KYC) obligations found during the FIU's on-site inspection of Upbit last August. It is reported that there are approximately 500,000 to 600,000 suspected KYC violations in Upbit, including cases where customers completed account registration despite submitting blurry ID information. This review will determine the disciplinary action and fine amount against Upbit employees, and may affect Upbit's Virtual Asset Service Provider (VASP) re-registration process. The outcome of the review will determine whether there is a connection to money laundering activities and may impact the re-registration process for virtual asset service providers in South Korea.
Ace Hot Topic Analysis
Analysis
The Financial Intelligence Unit (FIU) of the Financial Services Commission of Korea will hold a sanction review committee meeting on January 21 regarding Upbit, focusing on violations of Know Your Customer (KYC) obligations found during an on-site inspection of Upbit last August. It is reported that the FIU inspection revealed approximately 500,000 to 600,000 suspected KYC violations at Upbit, including cases where accounts were opened despite blurry identification information submitted by customers. This review will determine the disciplinary actions and fines against Upbit employees, with a particular focus on whether the KYC violations are linked to money laundering activities. The outcome of the review will impact the renewal registration process for Upbit as a Virtual Asset Service Provider (VASP), which was originally scheduled to be completed last October but has been delayed due to this incident. Industry experts expect that the renewal registration process for virtual asset service providers will gradually progress after this sanction review.
Public Sentiment · Discussion Word Cloud
Public Sentiment
Discussion Word Cloud
Classic Views
Upbit is suspected of violating KYC regulations, and the Korea FIU will hold a sanctions review committee on January 21, which may involve disciplinary action against Upbit employees and the determination of fines.
The FIU found KYC obligation violations in a site inspection of Upbit in August last year, including cases where customers submitted blurred ID information but still completed account opening.
This review could affect the renewal of Upbit's registration as a virtual asset service provider (VASP).
The focus of this review is on whether the KYC violation is related to money laundering.