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South Korea’s Ministry of Justice forms task force to combat cryptocurrency-related crimes
South Korea’s Ministry of Justice has launched a special task force to combat the growing prevalence of cryptocurrency-related crimes, signaling a major crackdown on fraud and market manipulation.
South Korea is stepping up efforts to crack down on market manipulation and fraud in the cryptocurrency sector by establishing a special task force in collaboration with local regulators. According to a regulatory documentThe Justice Ministry’s task force targets plans to target cases of price manipulation, unregistered cryptocurrency exchanges and deposit fraud, which have increasingly affected citizens.
The document reveals that illicit activity involving cryptocurrencies in South Korea has already exceeded $1.6 billion this year. The task force aims to dismantle schemes that promise high returns on cryptocurrency investments. Furthermore, the Ministry is preparing to apply the Virtual Asset User Protection Act, scheduled to be implemented in July, to ensure the protection of assets held by cryptocurrency users.
The latest initiative highlights South Korea’s commitment to promoting a transparent environment for cryptocurrency trading, even as the country lags other regions in cryptocurrency adoption.
Like crypto.news reported Previously, financial regulators in South Korea were facing increasing pressure to approve exchange-traded funds (ETFs) for cryptocurrencies, following the US Securities and Exchange Commission’s recent approval of Ethereum spot ETFs . Jung Eui-jung, head of the Korean Shareholders’ Alliance, stressed the importance of following the American example by supporting Bitcoin AND Ethereum ETFreflecting broader frustration with Seoul’s cautious approach to regulating cryptocurrencies.