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Crypto crime experiences in South Korea jumped 49% in 2023

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South Korean authorities obtained 48.8% extra experiences of suspicious transactions from cryptocurrency service suppliers final 12 months in comparison with 2022, the Monetary Intelligence Unit mentioned in a report Wednesday.

The nation noticed 16,076 reported circumstances of crypto transactions suspected of being concerned with actions equivalent to cash laundering, market manipulation or unlawful drug trades in 2023. The FIU defined that the expansion in quantity outcomes from lively communication with native corporations to encourage such reporting. 

The FIU added that the variety of suspected crypto crime circumstances it handed over to regulation enforcement companies for investigation grew 90% year-over-year.

Gearing up in opposition to crypto crime

The FIU is trying to set up a brand new system that can instantly droop suspicious digital asset transactions earlier than native prosecutors examine. The report mentioned that it goals to finish preliminary analysis for adopting the system in March this 12 months. 

In the meantime, the Korea Customs Workplace additionally introduced immediately that round 88% of unlawful international alternate transactions concerned digital property, a few of which used crypto to hide transaction settlements to evade taxes, in accordance with native information company Yonhap. The customs authority has lately fashioned a brand new crew devoted to tackling cryptocurrency crimes, Yonhap reported.

Final week, the Monetary Companies Fee, the nation’s prime monetary regulator, warned that crypto criminals committing illicit market acts might face felony punishments, together with life imprisonment, upon graduation of the nation’s new regulation for the safety of crypto traders on July 19.


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About Writer

Danny Park is an East Asia reporter at The Block writing on matters together with Web3 developments and crypto laws within the area. He was previously a reporter at Forkast.Information, the place he actively lined the downfall of Terra-Luna and FTX. Primarily based in Seoul, Danny has beforehand produced written and video content material for media firms in Korea, Hong Kong and China. He holds a Bachelor of Journalism and Enterprise Advertising from the College of Hong Kong.

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