- Around 30 people from judicial, financial, tax, and customs departments would comprise the team.
- It will speed up the whole investigation process for crimes involving crypto.
As illicit activities in the crypto sector have increased, South Korea on Wednesday formed an interagency investigative team. This is an effort to combat cryptocurrency-related crimes. The Prosecutor’s Office said in a statement that around 30 individuals from judicial, financial, tax, and customs departments would comprise the Joint Investigation Centre for Crypto Crimes.
Moreover, the Prosecutor’s Office said that until the cryptocurrency market was controlled by legislation. The investigative team would serve as a safety net for cryptocurrency investors.
It is said that investigations into unlawful trading activities, tax evasion, improper foreign exchange transfers, concealment of illicit earnings, and money laundering will focus on cryptocurrencies with excessive price volatility or de-listing.
Stringent Regulations
Furthermore, the unit’s principal goal is to investigate market participants engaged in the issuance or distribution of cryptocurrencies. This is in order to discover unusual trading activity and investigate related illegal crimes. It will also speed up the whole investigation process for crimes involving crypto, from detection, analysis, and management.
Moreover, the debut coincides with the law being passed by the National Assembly in South Korea to safeguard investors. Unfair commercial activities, the use of confidential information, market price manipulation, and illegal transactions involving virtual assets are all now punishable by jail terms and monetary fines, according to the new legislation.
On the other hand, the FSC of South Korea has demanded that crypto enterprises that issue or hold cryptocurrencies include specific crypto disclosures in their financial statements starting in 2024. The new rule requires cryptocurrency businesses to report sales, volumes, and market values of their coins, along with more specifics.
