Popular Cryptocurrency Exchange Investigated! – Cryptocurrency News | Coins Booster
Popular Cryptocurrency Exchange Investigated! – Cryptocurrency News | Coins Booster
South Korea’s third-largest cryptocurrency exchange is under investigation for alleged executives manipulating token prices. Popular cryptocurrency exchange allegedly illegally listing tokens High-volume centralized cryptocurrency exchange Bithumb is being investigated by the Financial Investigation Division 2 of the Seoul Southern District Attorney’s Office for listing tokens for money. The legal process follows a similar case involving Coinone, which was investigated for the same reason last month. The Bithumb investigation comes after an employee of its parent company Bithumb Holdings, named Lee Sang-jun, was accused of listing a specific token on the exchange in exchange for money. The prosecution seized and raided the offices of Bithumb Holdings and Lee’s aunt’s home. Experts underlined that the cryptocurrency market needs to improve its systems and strengthen penalties to prevent such practices. The crypto industry has long grappled with controversies over the illegal practice of listing tokens for money. Other local exchanges under scrutiny Other crypto exchanges such as Upbit, Corbit, and Gopax are also said to be under investigation by the prosecution for illegal listing. Legal and industry experts have called for institutional improvements and stronger penalties to prevent such practices from occurring. The maximum penalties available for those involved in illegal listing are 2 years and 5 years, respectively, for the giver and receiver of money, which is considered weak by some. Attorney Hong Pureun, representative of D’CENT, a law firm specializing in cryptocurrencies, said stronger regulations are needed and the Cryptocurrency Basic Law, currently under discussion in the National Assembly, could provide a solution. Similar to stock markets, calls for power sharing are being made on crypto exchanges. Various institutions, such as the Korea Stock Exchange and the Korea Stock Depository, are responsible for listing and deposit protection on the exchange. In contrast, crypto exchanges have all these functions that some experts believe give them too much power. The illegal listing investigation by Bithumb and Coinone has raised concerns about the wider crypto-asset industry. However, he also highlighted the need for systemic improvements and stronger penalties to ensure the integrity and stability of the industry. EU’s MiCA bill imposes tough licensing on cryptocurrency exchanges cryptocoin.com As we reported, the European Union’s Cryptocurrency Markets Regulation, known as MiCA, will announce the final decision for the legislation in the voting that will take place on April 19. In South Korea, DCON is holding talks with crypto experts on 17 cryptocurrencies at 2023.
