South Korea fines Bithumb $24M, orders 6-month partial business suspension
Por Anônimo
Regulators found 6.65 million AML violations at Bithumb, including 45,772 crypto transfers involving 18 unregistered overseas VASPs.
South Korea has fined crypto exchange Bithumb 36.8 billion won (about $24.5 million) and imposed a six-month partial business suspension after finding widespread violations of Anti-Money Laundering (AML) rules, according to a Yonhap News Agency report.
According to Yonhap, regulators identified about 6.65 million violations during an AML inspection, including failures related to customer identity verification, transaction restrictions and record-keeping requirements. Authorities found Bithumb facilitated 45,772 crypto transfers involving 18 unregistered overseas virtual asset service providers (VASPs), in violation of South Korea’s AML rules.
The Financial Intelligence Unit (FIU) under the Financial Services Commission (FSC) reportedly decided on the penalties following a sanctions deliberation committee meeting reviewing the exchange’s compliance with the Act on Reporting and Use of Specific Financial Transaction Information.
The sanction includes the largest fine yet imposed on a South Korean crypto exchange, following an ongoing regulatory crackdown on AML compliance.
Under the measures, Bithumb will be banned from processing external crypto transfers for new customers for six months, from March 27 to Sept. 26.
However, existing users will face no trading restrictions, while new customers can still buy or sell crypto and deposit or withdraw Korean won from the exchange.
Related: South Korea plans to use AI for crypto tax enforcement
The FIU said it had repeatedly warned Bithumb to halt transactions with unregistered overseas crypto firms. However, the regulator said the exchange failed to comply and was unable to implement effective blocking measures.
On March 9, the FIU gave Bithumb a preliminary notice of a six-month partial suspension, citing its concerns over Bithumb’s violations before determining the final sanctions.
Apart from Bithumb, the FIU has also previously penalized other South Korean exchanges for AML violations.
In February 2025, the regulator imposed a three-month restriction on crypto deposits and withdrawals for new Upbit customers after finding violations tied to dealing with unregistered VASPs. Upbit also received a 35.2 billion won (about $23.5 million) penalty.
The crackdown later reached crypto exchange Korbit. In December 2025, the FIU imposed a 2.73 billion won (about $1.8 million) fine and an institutional warning on the exchange over AML and customer-verification breaches.
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Source: CoinTelegraph
