South Korean Exchange Upbit Ordered to Halt Operations

South Korea’s Financial Intelligence Unit (FIU) has ordered the country’s largest cryptocurrency exchange, Upbit, to suspend its operations due to alleged violations of anti-money laundering (AML) policies, according to the local Maeil Business Newspaper.

The regulator’s complaints are related to non-compliance with Know Your Customer (KYC) procedures. According to the FIU, inspections revealed approximately 700,000 cases of potential violations.

Upbit is required to submit its objections by January 20. The final decision on fines and sanctions will be made the following day. If the decision is confirmed, the exchange could lose the right to work with new clients for up to six months.

Under South Korean law, each violation can incur a fine of up to 100 million won (approximately $67,000). Considering the number of violations discovered, the theoretical maximum fine could exceed $40 billion.

US Court Fines BitMEX an Additional $100M for Violating the US Bank Secrecy Act

A US court has fined the BitMEX exchange an additional $100 million for violating the US Bank Secrecy Act. The exchange had previously agreed to pay a fine of $110 million for the same offense.

The prosecution claimed that BitMEX earned around $1.3 billion in revenue while breaching

US laws over a five-year period. According to the judge, the initial $110 million fine from 2020 was insufficient punishment.