South Korea crypto exchange Bithumb hit with suspension, CEO faces disciplinary action: report
South Korea's FIU issued a six-month partial suspension notice to Bithumb for AML violations, with the CEO also facing action.Summary
South Korea's Financial Intelligence Unit (FIU) has issued a notice to the major cryptocurrency exchange Bithumb regarding a six-month, partial suspension due to violations of anti-money laundering (AML) obligations. The exchange's CEO is also reportedly facing disciplinary action. This regulatory action follows a full-scale investigation launched by the Financial Supervisory Service last month after Bithumb mistakenly sent 620,000 BTC to numerous users, highlighting internal control weaknesses. The specific violations cited include dealings with unreported overseas virtual asset operators and neglecting customer due diligence. The temporary sanctions only restrict transfers for new users, and the FIU plans to convene a sanctions review committee this month to determine the final penalty level, meaning the current measure is a preliminary notice. Other South Korean exchanges, Upbit and Korbit, also faced fines in 2025.
(Source：The Block)