The financial authorities of South Korea are planning sanctions against cryptography exchanges that operate illegally in the country, Hankkyung commercial newspaper reported Friday.
The Financial Intelligence Unit (FIU) classified a series of exchanges that are not registered as suppliers of virtual asset services (Vasps) as sanctions objectives, according to the report.
It has been found that the directed exchanges (Bitmex, Kucoin, Coinw, Bitunix and Kcex) operate websites in Korean language without informing Fiu. For that reason, they are classified as illegal businesses, according to the country’s regulations.
“We are currently reviewing the access to the non -reported abroad that provide services to national investors through consultation with the Korean Communications Standards Commission,” said a FIU official, according to the report.
“We are organizing cases of damage and related data to strengthen communication between the authorities, and we hope to see tangible measures taken within this year.”
Bitmex, Kucoin and Coinw did not respond to the request for comments from Coindesk.
Last month, the South Korean cryptocurrency exchange was prohibited from the UPBIT for the new clients to transfer assets to their platform for three months due to breach of their obligations as a regulated provider.
Read more: Crypto Exchange Bithumb raided by South Korean prosecutors for accusations of embezzlement: report
