Upbit Halts High-Value Transactions Following Ten&Ten Service Suspension
Upbit, a major cryptocurrency exchange in South Korea, has made the decision to temporarily suspend deposits and withdrawals exceeding 1 million Korean won. This move comes in response to the suspension of Ten&Tenโs Travel Rule Solution service, which played a crucial role in enabling Upbit to process high-value crypto transactions efficiently.
โ **Upbitโs Decision:**
โ Upbit has announced the immediate suspension of deposits and withdrawals over 1 million Korean won.
โ The suspension is a direct result of Ten&Tenโs suspension of its Travel Rule Solution service.
โ **Compliance with Regulations:**
โ South Korea has a minimum threshold of 1 million won for compliance with the Crypto Travel Rule.
โ Virtual asset service providers (VASPs) in South Korea must adhere to these regulations.
โ **User Notification:**
โ Upbit has informed affected users to complete necessary transactions by a specific deadline to avoid any inconvenience.
โ The termination of Ten&Tenโs services has a significant impact on Upbit and its users.
โ **Regulatory Landscape:**
โ Upbit is adjusting its operations in response to regulatory changes in South Koreaโs cryptocurrency ecosystem.
โ Recent reports show a shift in crypto-fiat trading volume, indicating broader regulatory developments in the country.
South Korean Authorities Prepare Tighter Guidelines Amidst Increasing Interest
South Korean regulators are gearing up to introduce stricter regulations to improve the token listing process on cryptocurrency exchanges. These regulations aim to enhance investor protection and market transparency. Recent reports suggest that the Financial Supervisory Service (FSS) of South Korea, in collaboration with industry stakeholders like the Digital Asset Exchange Association (DAXA), is finalizing the virtual asset trading support guidelines. These guidelines are expected to be unveiled soon, bringing greater clarity and structure to the cryptocurrency market in the country.
โ **Regulatory Updates:**
โ South Korea is refining its token listing process regulations for crypto exchanges.
โ The Financial Supervisory Service is working with industry stakeholders to establish robust standards.
โ **Investor Protection:**
โ The objective is to bolster investor protection and market transparency in the cryptocurrency ecosystem.
โ Collaboration with the Digital Asset Exchange Association highlights the industryโs involvement in regulatory development.
โ **Youth Investment Trends:**
โ A survey conducted by the Korea Womenโs Policy Institute reveals a shift in young South Koreansโ investment preferences.
โ With concerns about the national pension system, many young individuals are exploring alternative investment options like stocks and cryptocurrencies.
Hot Take: Upbitโs Response to Regulatory Changes in South Korea
The temporary suspension of high-value transactions on Upbit reflects the challenges faced by cryptocurrency exchanges in adapting to evolving regulatory requirements. As South Korean authorities prepare to introduce tighter guidelines, exchanges like Upbit are proactively adjusting their procedures to comply with these new regulations while maintaining service continuity for users. This strategic response by Upbit underscores the importance of regulatory compliance in the dynamic landscape of the cryptocurrency market.
Sources:
โ [Upbit Official Statement](https://upbit.com/service_center/notice?id=4164)
โ [Kaiko Data Report](https://twitter.com/KaikoData/status/1779887479673462793)
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