#Upbit is under investigation for KYC violations.#
Hot Topic Overview
Overview
The Financial Intelligence Unit (FIU) of the Financial Services Commission of Korea will hold a sanctions review committee meeting on January 21 regarding Upbit. The main reason is that the FIU found violations of customer identification (KYC) obligations during an on-site inspection of Upbit in August last year. It is reported that the review will focus on whether the KYC violations are related to money laundering activities and may involve disciplinary actions against Upbit employees and the determination of fines. The outcome of this review will affect Upbit's Virtual Asset Service Provider (VASP) registration renewal process, which was originally scheduled to be completed in October last year but has been delayed due to this incident.
Ace Hot Topic Analysis
Analysis
The Financial Intelligence Unit (FIU) of the Financial Services Commission of Korea will hold a sanctions review committee on January 21st regarding Upbit, primarily focusing on violations of customer identity verification (KYC) obligations discovered during an on-site inspection of Upbit conducted by the FIU last August. It is reported that the FIU inspection uncovered approximately 500,000 to 600,000 suspected KYC violations, including instances where accounts were opened despite blurry ID submissions. This review will determine the disciplinary actions and fines to be imposed on Upbit employees, with particular emphasis on whether the KYC violations are linked to money laundering activities. The outcome of the review could impact the renewal of Upbit's registration as a Virtual Asset Service Provider (VASP), which was originally scheduled for completion in October last year but has been delayed due to this incident. This event has also raised concerns in the industry regarding the renewal process for virtual asset service providers, and it is anticipated that KYC-related regulations will be enforced more stringently in the future.
Public Sentiment · Discussion Word Cloud
Public Sentiment
Discussion Word Cloud
Classic Views
Upbit is suspected of KYC violation, the Korean FIU will conduct sanctions review, which may involve disciplinary action against Upbit employees and the determination of fines.
The FIU found KYC obligation violations during its on-site inspection of Upbit last August, and this review will focus on whether the KYC violation is linked to money laundering.
The FIU inspection found about 500,000 to 600,000 suspected KYC violations at Upbit, including cases where customers submitted blurry ID information but still completed account opening.
The outcome of this review could affect Upbit's virtual asset service provider (VASP) registration renewal process.