South Korea's Financial Supervisory Service Director: Will adopt a zero-tolerance policy for improper crypto trading and actively discuss second-stage legislation

Lee Bok-hyun, chairman of the Financial Supervisory Service (FSS) of South Korea, said at a meeting with cryptocurrency industry leaders: "We will pay close attention to sudden price fluctuations of newly launched tokens or the spread of unconfirmed rumors. If any suspicion of improper transactions is found, we will concentrate all the investigation capabilities of the regulatory authorities and hold them accountable in accordance with the principle of zero tolerance." Lee Bok-hyun also emphasized that the regulatory authorities will supervise, inspect and investigate with the protection of users as the top priority, successfully establish the Virtual Assets Law, and will carefully review the operators' fulfillment of legal obligations to ensure that user protection does not become vulnerable due to market concentration, excessive competition, and management difficulties. He commented that since the implementation of the Virtual Asset User Protection Act in July, "the virtual asset punishment system is being implemented smoothly", but he added, "Since there are still some shortcomings, we will carefully check again whether all legal obligations are being properly fulfilled. In particular, regarding the obligation to monitor abnormal transactions, relevant parties are requested to use market information and report content to operate an active monitoring system and actively communicate with regulatory authorities from the abnormal transaction review stage." He also said that for the second phase of virtual asset legislation, he will actively discuss with policy departments such as the Financial Services Commission, while observing the implementation progress of the first phase of the virtual asset law and the self-discipline and international regulatory trends. "In order to resolve regulatory uncertainties and build market trust, we will closely follow international regulatory trends and actively discuss the direction of the second phase of the bill with relevant organizations." (Chosun Biz)